Telecom New Zealand, the country’s incumbent, will ask its shareholders to vote on a structural separation next year if it gets a seat on the New Zealand government’s proposed broadband network initiative.
On a conference call last Friday cited by…
Telecom New Zealand, the country’s incumbent, will ask its shareholders to vote on a structural separation next year if it gets a seat on the New Zealand government’s proposed broadband network initiative.
On a conference call last Friday cited by Bloomberg, chief executive officer Paul Reynolds said that shareholders would be able to vote on the demerger as early as mid-2011.
As part of its Ultra Fast Broadband project, the New Zealand government is asking the company to demerge its wholesale and retail operations, Reynolds explained.
The New Zealand government is planning a NZ$1.5bn (US$1.1bn) investment in open-access, dark-fibre infrastructure to accelerate the rollout of ultra-fast broadband in the country.
Vodafone New Zealand and New Zealand electricity distributor Vector are among the 15 companies that have submitted bids to take part in the project.
New Zealand Telecom could not be reached for comment by press time.
