TPG Telecom
(ASX:TPM) has announced it will build its own mobile network, and is set to become Australia’s fourth mobile network operator.
The telco paid $1.26 billion to acquire two lots of 700 MHz spectrum at a recent auction conducted by the Australian Communications and Media Authority.
TPG currently buys its access to the 4G network from Vodafone. Now, TPG plans to spend around $600 million to roll out its own mobile network over three years (starting in 2018), and aims to cover 80% of the Australian population.
The company is also in a trading halt, pending the completion of a $400 million capital raising– which will be used to fund its spectrum acquisition.
TPG last traded yesterday at $6.66 per share.
