Original article by Max Mason
The Australian Financial Review – Page: 50 : 13-Apr-17
TPG Telecom will raise $A400m from investors to partially finance its $A1.26bn deal to acquire an 11-year licence for mobile spectrum in the 700MHz band. TPG will establish Australia’s fourth mobile phone network, which is expected to cover about 80 per cent of the nation and is likely to spark a price war in the highly competitive market. TPG estimates that it will need to gain at least 500,000 mobile customers in order to achieve break-even status on an EBITDA basis. The company already boasts 1.9 million broadband customers, who can be offered bundled services.
TPG TELECOM LIMITED – ASX TPM, TELSTRA CORPORATION LIMITED – ASX TLS, SINGTEL OPTUS PTY LTD, VODAFONE HUTCHISON AUSTRALIA PTY LTD, MACQUARIE GROUP LIMITED – ASX MQG, WASHINGTON H SOUL PATTINSON AND COMPANY LIMITED – ASX SOL, INVESTORS MUTUAL LIMITED, ARMYTAGE PRIVATE LIMITED, WATERMARK FUNDS MANAGEMENT PTY LTD