Vocus to acquire TPG’s fibre and fixed network assets for $3.35bn 

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Discussions between the two companies first began in July last year 

Australia’s Vocus has announced a binding agreement to acquire TPG’s Enterprise, Government, and Wholesale (EG&W) fixed business and fibre network assets for AU$5.25 billion (US$ 3.35 billion). The acquisition will position Vocus as a digital infrastructure operator in Australia, boosting its ability to serve enterprise, government, and wholesale customers. 

The deal will significantly extend Vocus’ reach, adding more than 50,000 km of fibre and connecting nearly 20,000 buildings across all Australian capital cities. Vocus will also gain access to TPG’s fibre network, IT assets, and international submarine cables, including the PPC-1 cable linking Sydney to Guam. This complements Vocus’ existing infrastructure, such as the Australia Singapore Cable and other key international routes. 

“This agreement is transformative for Vocus and is an important step towards creating a more competitive landscape for the Australian telecommunications industry,” said Jarrod Nink, Vocus’s interim CEO in a statement. 

“Digital infrastructure is the foundation of the modern economy, driving growth and innovation, and opening new markets and opportunities. Investment and competition in our industry is critical for Australia’s future and the combined strengths and resources of Vocus and TPG in the EG&W sector will create immediate and lasting benefits for our customers, employees and shareholders,” he continued.  

Under the agreement, Vocus and TPG will enter into a long-term strategic partnership, ensuring TPG continues to access Vocus’ fibre infrastructure. This arrangement secures long-term network planning and operational stability for both companies. 

“TPG will retain its mobile radio network infrastructure, Consumer and EGW mobile business and its Consumer and small office/home office fixed retail business, including fixed wireless,” according to a TPG statement published today. 

The acquisition marks the culmination of lengthy discussions between the two companies, which have been exploring the deal for some time. Talks around a deal for Vocus to acquire TPG’s non-mobile fibre assets for AU$6.3 billion (US $4.2 billion) had been ongoing since last July, but ended in November, after the two companies had been unable to reach a decision. 

“The proposed transaction involved considerable complexity and, ultimately, the parties have been unable to reach alignment on the operating model and commercial terms,” TPG said in a statement at the time. Then, in August this year, the two companies resumed non-binding discussions. 

The deal is subject to regulatory approval. Once achieved, Vocus will begin integrating TPG’s assets into its operations.  

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