Telstra Corporation Limited
(ASX:TLS) has inked a revised $11 billion deal with NBN Co and the Federal Government to deliver the National Broadband Network (NBN).
Australia’s largest telco first struck the deal in 2011 and says the main change now relates to the approach taken to Telstra’s copper and Hybrid Fibre Coaxial (HFC) networks.
Under the original agreements, Telstra was required to progressively disconnect premises connected to its copper and Hybrid Fibre Coaxial broadband networks as the NBN is rolled out.
Under the revised agreements Telstra will continue to disconnect premises but progressively transfer ownership of its copper and Hybrid Fibre Coaxial networks to NBN Co.
Telstra says the new agreement does not require a shareholder vote as the original value of the deal has been maintained which shareholder approved in October 2011.
Telstra Corporation reported a net profit of $4.34 billion in the 2014 financial year.
