Telecom NZ puts AAPT back on the market, papers say

24 Oct 2006

Telecom New Zealand has reportedly put Australia’s third largest telco, AAPT, back up for sale despite failing to find a suitable buyer for the business earlier this year. According to The Australian, Telecom is believed to be in talks to sell AAPT’s consumer fixed line business to the SP Telemedia group whilst also considering a tie-up with broadband provider PowerTel. The New Zealand group is expected to retain AAPT’s profitable corporate services unit.

According to TeleGeography’s GlobalComms database, Telecom bought AAPT in 1999 for about AUD2.3 billion (USD1.77 billion), but in February 2006 it drastically reduced its book value to AUD628 million, following a review of the company’s performance and assessment of its future prospects.

Australia, AAPT, Spark New Zealand Group