Vodafone Hutchison and TPG Telecom in $11 billion Australian merger

Vodafone Hutchison Australia on Thursday announced that its operations will turn out to be a piece of a new telecoms goliath in an $11 billion merger.

Merging TPG Telecom and Vodafone Hutchison Australia will make a fixed-line, mobile and broadband provider with the scale to equal Telstra and Optus.

CK Hutchison and Vodafone Group, the Hong Kong-based giants that own Vodafone Australia, will have a dominant part 50.1% stake.

TPG will account for the rest of TPG Telecom Limited, which will be recorded on the Australian Securities Exchange.

The current chief executive officer and chairman of TPG, David Teoh, will be the new chairman of the newly merged group. While, Inaki Berroeta, the chief executive of Vodafone Hutchison Australia will be the chief executive and managing director of the group.

TPG is among one of the largest internet service providers in Australia.

Vodafone Hutchison Australia has a mobile customer base of almost 6 million subscribers and is among Australia’s top three mobile operators.

Hutchison Telecommunications Australia saw its shares surge by 44%, while TPG Telecom’s stocks increased by 18%.

The public review of the proposed merger between Vodafone Hutchison Australia and TPG Telecom will soon be started by the Australian Competition and Consumer Commission.

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Mass Communication and Journalism Graduate. Have always been awestruck with the way things are in the world of sports. Mainly covering the news related to the various events happening in the field of sports.

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