11 Nov 2011

Green light for Telecom split

4:00 pm on 11 November 2011

Telecom says it has received the final court orders from the High Court allowing the splitting-off of its network business, Chorus.

The demerger will go ahead on 30 November.

The separation was a condition of Telecom's being able to bid for contracts to build the Government's ultra-fast broadband network.

Chief executive Paul Reynolds says receipt of the court orders was the final box to be ticked in the process.

He says it clears the way for the separation, which has been delivered on schedule despite a very tight timeframe.

Chorus shares will begin trading on the stock exchange on 25 November, with Telecom shareholders receiving one Chorus share for every five Telecom shares held.

The last date people can buy Telecom shares and qualify for the demerger share offer is 22 November.