Chorus (ASX:CNU) signs new service contracts

Company News

by Lauren Evans

Chorus (ASX:CNU) has signed new agreements with existing service providers Downer and UCG for its copper and fibre network.

The NZ telecommunications company said the contracts will start from April this year for a minimum of three years. Ventia will remain responsible for the remaining fibre rollout to about 40,000 premises and will also complete the West Coast and Southland fibre network extensions and other projects.

Chorus GM customer & network operations, Andrew Carroll said the agreements provide a platform for the ongoing simplification of Chorus’ business as it transitions from building the fibre network and connecting customers, to operating and maintaining essential broadband infrastructure.

“The consolidation of areas and activity under the new agreements is intended to ensure our service company partners can operate sustainably while also enhancing the experience for customers as they connect to the network or have faults repaired.” 

“With the large Ultra-Fast Broadband build programmes coming to an end, and new fibre installation volumes expected to slow, we worked closely with our service companies to create a framework that appropriately balances customer experience, cost and industry sustainability.”

Shares in Chorus (ASX:CNU) are trading 0.2 per cent lower at $6.44. 

Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.