Chorus Ltd (ASX:CNU) has entered a conditional agreement with Crown Fibre Holdings. Under this deal, Chorus will continue to connect households to New Zealand’s Ultra Fast Broadband network for free.
Chorus, which provides telcommunications infrastructure throughout NZ, says this deal means free residential installations will continue until 31 December 2019.
This agreement is conditional on confirmation that the tax status of Crown Fibre Holdings’ securities remains unchanged.
The company says it has has been providing funding for residential non-standard installations since late 2012 – with an initial fund of $20 million, increased to $28 million in 2014.
Chrous posted a net profit of $86.8 million at 30 June 2016.