2degrees Shareholders to Explore Possible IPO
2degrees confirms that its shareholders are exploring the potential listing of 2degrees on the main board of the New Zealand Stock Exchange (NZX) and Australian Securities Exchange (ASX) in the second half of 2021 or early 2022. Any such listing would be subject to market conditions and it is noted that no decision has been made to proceed with an IPO to date.
“Equity markets are strong globally, telecom valuations are attractive, and the New Zealand dollar is at a multi-year high. This compelling macro backdrop, combined with the resilience, scale and growth of the 2degrees business, suggests now is an opportune time for the shareholders of 2degrees to explore a partial listing of the business,” said Brad Horwitz, Chair of the 2degrees Board and President and CEO of Trilogy. “An equity event in New Zealand would raise primary capital to accelerate growth initiatives at 2degrees as well as enable Trilogy to reduce the debt it incurred while building the 2degrees business.”
2degrees continued to grow strongly in 2020 despite COVID, and now serves more than 1.6 million subscribers throughout New Zealand, including more than 500,000 pay monthly mobile customers and over 130,000 broadband customers.
Alongside growth in consumer mobile and residential broadband, 2degrees continued to gain traction in the business market, recently surpassing 100,000 mobile business customers.
“Since launching in 2009, 2degrees has evolved into a full-service telecommunications provider serving all market segments via its national mobile network, while still retaining its challenger roots and fighting for fair via innovative products kiwis love,” said Mark Aue, Chief Executive Officer of 2degrees.
“2degrees has fundamentally changed the New Zealand communications market, and last year was no different. In 2020, we invested heavily in our mobile network, making significant improvements to the service we provide in regional New Zealand. We also sharpened our focus on Kiwi businesses and continued growing our broadband customer base, while ensuring that kiwis stayed connected through the pandemic and had great kiwi- based customer care.”
“We have the infrastructure and industry leading service to do much more for New Zealanders. We’re very excited about the future and are investing even more in advance of our 5G launch later this year.”
CONTACT:
Mat Bolland, GM Corporate & Regulatory Affairs
(022) 489 7722
No money is currently being sought and no shares or other financial products in 2degrees can currently be applied for or acquired under any offer or intended offer. If an offer of 2degrees shares or other financial products is made, the offer will be made in accordance with the Financial Markets Conduct Act 2013 (New Zealand) and the securities laws of all other applicable jurisdictions.