Spark applies for regulatory clearance of TeamTalk takeover

21 Mar 2017

New Zealand’s Commerce Commission has received a clearance application from Spark New Zealand to acquire (either directly or indirectly) up to 100% of the shares of local firm TeamTalk, which offers fibre-optic services in the main urban areas of Wellington and Auckland (via subsidiary CityLink) and a number of underserved locations (via Farmside). Spark said that the acquisition is part of its strategy to achieve greater control of the end-to-end experience for its customers. In its application, Spark points out that the TeamTalk business is ‘highly complimentary’ to its operations, with ‘only very limited competitive overlap’, as Spark does not currently have infrastructure that competes directly with TeamTalk’s CityLink local access fibre network assets in Wellington and Auckland.

TeleGeography notes that Spark (known as Telecom New Zealand until a rebranding in August 2014) is the main provider of voice telephony and data transmission services in the country via xDSL and fibre-optic platforms.

New Zealand, CityLink (New Zealand), Farmside, Spark, Spark New Zealand Group, TeamTalk Group