Menu
Telecom sells AAPT for A$450m to TPG Telecom

Telecom sells AAPT for A$450m to TPG Telecom

Telecom anticipates that sale proceeds will be used to repay debt. The company will provide further guidance on the use of the proceeds at its H1 FY14 profit announcement on 21 February 2014

Telecom has entered into a binding agreement to sell AAPT for A$450 million to TPG Telecom Limited. The agreement is free of conditions and is expected to be complete by 28 February 2014.

This transaction, which follows the sale of AAPT’s consumer division in September 2010, represents approximately 6.4x AAPT’s current recurring annualised EBITDA run-rate of approximately A$70m.

“The sale of AAPT is consistent with strategy and with our desire to focus principally on our New Zealand operations and on the needs of New Zealand customers,” said Telecom chief executive, Simon Moutter.

Telecom anticipates that sale proceeds will be used to repay debt. The company will provide further guidance on the use of the proceeds at its H1 FY14 profit announcement on 21 February 2014.

Following a period of cost reduction and operational improvement, AAPT has been focused on a revenue growth plan within business and wholesale markets, using its strong network capabilities.

“AAPT is performing well. David Yuile and his management team have done an impressive job during the last three years to simplify, stabilise and reshape the company. By focusing on AAPT’s wholesale and corporate businesses, the management team has grown the customer base and, most importantly, driven profitable growth,” said Moutter.

“We are very energised by the progress we have made and the massive turnaround AAPT has experienced after several years of hard work and tough decisions. AAPT is now ready for another chapter in its evolution and we look forward to the future,” said AAPT CEO David Yuile.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags aapttelecomTPG Telecom

Brand Post

Featured

Slideshows

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

Hundreds of leaders from the New Zealand IT industry gathered at the Hilton in Auckland on 17 November to celebrate the finest female talent in the Kiwi channel and recognise the winners of the Reseller News Women in ICT Awards (WIICTA) 2020.

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards
Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

The leading female front runners of the New Zealand ICT industry joined together for the annual Reseller News Women in ICT Awards event at the Hilton in Auckland, during which hundreds of guests celebrated 13 outstanding individuals who won awards, chosen from more than 50 finalists representing over 30 organisations.

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards
Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

More than 500 channel leaders gathered in Auckland on 21 October at the ​Reseller News Innovation Awards ​2020 to celebrate the achievements of the New Zealand technology industry's top partners, start-ups, vendors, distributors and individuals.

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners
Show Comments