News: TPG TPG Telecom Signs Regional Network Sharing Agreements With Optus

April 29 (Reuters) - TPG Telecom Ltd (TPG) :

• TPG SIGNS REGIONAL NETWORK SHARING AGREEMENTS WITH OPTUS
• ESTIMATED SPECTRUM RECEIPTS FROM OPTUS WILL TOTAL A$420 MILLION.
• MOCN AGREEMENT WILL RUN FOR 11 YEARS, WITH AN OPTION FOR TPG TELECOM TO EXTEND FOR A FURTHER FIVE-YEARS
• SEES TO AVOID CUMULATIVE GROSS CASH COSTS OF A$575 MILLION TO A$675 MILLION OVER AGREEMENT PERIOD
• REGIONAL MOCN IS EXPECTED TO BE OPERATIONAL FROM EARLY 2025
• ARRANGEMENT WILL REDUCE EXPECTED CASH CAPITAL EXPENDITURE TO A$1,020 MILLION IN FY24
• ARRANGEMENT WILL REDUCE EXPECTED CASH CAPITAL EXPENDITURE TO A$950 MILLION IN FY25 AND FY26
• EXPECTS MOCN ARRANGEMENT TO ACHIEVE BREAK-EVEN IN CASH TERMS FROM FY26 ONWARDS
• IN FY24, EXPECTS TO RECOGNISE A$230 MILLION TO A$250 MILLION OF NON-CASH CHARGES RELATED TO 755 TOTAL NETWORK SITES WITHIN MOCN AREA
• INTENDS TO DECOMMISSION BALANCE OF ITS 755 MOBILE SITES IN MOCN AREA
• IN FY25 TPG TELECOM EXPECTS A NEGATIVE EBITDA IMPACT OF ABOUT A$55 MILLION TO A$65 MILLION
• NEGATIVE NPAT IMPACT OF ABOUT A$10 MILLION TO A$20 MILLION ESTIMATED IN FY25
• NO CHANGE TO TPG TELECOM'S EBITDA GUIDANCE FOR FY24
• SEES FY24 EBITDA BETWEEN A$1,950 MILLION AND A$2,025 MILLION

(([email protected];))