News: Australia's TPG Telecom says to pay $1.26 bln for mobile airspace

SYDNEY, April 12 (Reuters) - Australia's TPG Telecom Ltd (TPM) said it will pay the federal government A$1.26 billion ($945.38 million) for mobile phone airspace and spend another A$600 million to build a network, enabling it to bring its services to 80 percent of the population.

TPG, 34 percent owned by Malaysia-born entrepreneur David Teoh, added that it plans to raise A$400 million in a rights issue to pay down debt and allow it to re-draw the cash to pay for the three-year infrastructure build.

($1 = 1.3328 Australian dollars)