Feeds

Vodafone NZ swoops on TelstraClear

Goes full service for AUD$660m

Mobile application security vulnerability report

Telstra is shedding its struggling investment in New Zealand, TelstraClear, for $NZ840 million ($AU660 million) to rival Vodafone New Zealand.

In one of the worst-kept corporate secrets in the Kiwi market, the transaction will see Vodafone acquire a robust voice and data network and evolve into a full service carrier to meet the emerging competition from the Ultra Fast Broadband (UFB)network.

As part of the transaction Vodafone NZ will also acquire a significant pool of high end corporate and government customers and TelstraClear’s 50,000 mobile customers.

It will also score TelstraClear’s next egg of 1800MHz and 2100MHz spectrum valued at an estimated NZ$100 million, which may see Vodafone NZ accelerate into 4G services.

Under the deal, Telstra has entered into an agreement with Vodafone NZ to ensure service continuity in New Zealand for its trans-Tasman customers. Telstra CEO David Thodey described the deal as a “natural one” which was consistent with Telstra’s overall strategy and capital management framework outlined in April.

Telstra will also return approximately $NZ490 million ($AU380 million) in cash to Australia via a pre-completion dividend. Which means more cash for offshore acquisitions.

Ovum’s David Kennedy said that the proceeds would most likely be pooled towards acquisitions in emerging markets such as China or elsewhere in Asia.

The sale is contingent on New Zealand regulatory approval, including the New Zealand Commerce Commission, Overseas Investment Office and Ministry of Business, Innovation and Employment, which is expected to take a number of months.

Telstra acquired Clear Communications in 2001 which had been owned by Bell Canada Enterprises, MCI International, Television New Zealand and Todd Corporation Ltd. At the time Telstra was operating in New Zealand as Telstra Saturn a JV with Austar. ®

The Power of One Brief: Top reasons to choose HP BladeSystem

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.