TPG Telecom appoints advisor to explore Vision Network options

TPG Telecom Limited has today announced the appointment of BoA Securities (Bank of America) to assist with a strategic review to support the growth of the Company’s Vision Network business unit. The Board of TPG Telecom is focused on unlocking value for TPG Telecom shareholders and enabling Vision Network to exploit its full potential as Australia’s largest non-NBN residential wholesale access network1.

TPG Telecom CEO and Managing Director, Iñaki Berroeta, said: “Vision Network’s operations are best-in-class and, following completion of the last phase of functional separation from our retail operations earlier this month, the business has compelling opportunities to fulfil its potential to become a leading wholesale residential broadband platform for multiple retail service providers.” Primarily located in major metropolitan cities across Australia, Vision Network’s infrastructure assets pass approximately 410,000 premises, delivering fixed broadband services to approximately 135,000 active subscribers. The business is expected to surpass $100 million of annualised pro forma revenue during FY23.

In addition to expanding penetration and rolling out technology upgrades within this footprint, Vision Network has significant opportunities to provide super-fast broadband connectivity to new building developments and capture significant share of c. 190,000 to 200,000 new greenfield premises each year2.

Vision Network operates four hard to replicate wholesale fixed access networks supplying fixed broadband services using fibre to the basement (FTTB), fibre to the premises (FTTP), fibre to the node (FTTN) and hybrid fibre coaxial (HFC) technologies. Vision Network is the first major wholesale access network in Australia with G.Fast technology, enabling download speeds of 1Gbps on its FTTB network and, shortly, its TransACT FTTN network in Canberra. TPG Telecom will provide further updates to the market in due course and as appropriate.

CT Bureau