Four bidders in AAPT auction: source

 

Speculation spins further.

Telecom New Zealand is auctioning off its AAPT unit, with four bidders vying for the struggling Australian telecoms carrier, a source familiar the situation said.

The four bidders who submitted proposals by the Thursday deadline were TPG Telecom (TPM.AX), privately held Pacnet, private equity firm Quadrangle Group and Optus, the fully-owned Australian unit of Singapore Telecommunications (STEL.SI), said the source, speaking on condition of anonymity.

AAPT has been suffering from declining business, with revenue dropping to A$760 million in 2009 from A$1 billion in 2008 and EBITDA falling to A$73 million from more than A$100 million over that period, said the source, adding the Australian unit of Goldman Sachs was handling the sale.

The company said last Thursday it would consider any reasonable offer for the unit that was in the interest of shareholders.

Pacnet made an unsolicited $420 million offer for AAPT in late 2008, but that offer was ultimately rejected by Telecom Corp.

(Reporting by Doug Young; Editing by Simon Jessop).


Four bidders in AAPT auction: source
 
 
 
Top Stories
Earning the right to innovate
Breaking down the barriers to innovation is a long, but rewarding process, says Bank of Queensland Group CIO, Julie Bale.
 
A call for timely reporting
[Blog post] Businesses need incentives to keep customer data secure.
 
Doubts cast on Queensland's ICT Dashboard
Opposition, former Govt CIO say it can't be trusted.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...
Latest Comments
Polls
What is delaying adoption of public cloud in your organisation?







   |   View results
Lock-in concerns
  26%
 
Application integration concerns
  3%
 
Security and compliance concerns
  29%
 
Unreliable network infrastructure
  9%
 
Data sovereignty concerns
  22%
 
Lack of stakeholder support
  3%
 
Protecting on-premise IT jobs
  5%
 
Difficulty transitioning CapEx budget into OpEx
  3%
TOTAL VOTES: 846

Vote