Vodafone's $668M TelstraClear deal enhances its New Zealand presence
Vodafone (LSE: VOD.L) has made it official that it is going to acquire TelstraClear, Telstra's New Zealand wireline business, for NZD 840 million (USD 668.7 million).
In June, Telstra began discussions with Vodafone New Zealand to explore a possible deal to sell its New Zealand subsidiary, TelstraClear.
By purchasing TelstraClear, Vodafone, which is the country's dominant wireless operator, immediately becomes the second largest wireline operator in New Zealand following Telecom New Zealand.
In addition to some key wireless spectrum assets, the service provider gains a HFC network in Wellington, Kapiti and Christchurch and a 6,600 km fiber backbone connecting 19 of the country's largest cities.
Pending approvals from the Commerce Commission, the Ministry of Business, Innovation and Employment and the Overseas Investment Office, the deal is set to close in Q4 2012.
Vittorio Colao, CEO of the Vodafone Group, said that "TelstraClear's infrastructure and capabilities are highly complementary to those of Vodafone New Zealand," and that the "combined business will have the breadth and depth of resources and skills to meet our customers' long-term integrated communications needs."
- TeleGeography has this article