TPG Telecom has brought in the Bank of America to shop its Vision Network to interested buyers.
Vision Network is Australia’s largest non-NBN residential wholesale infrastructure access network, reaching over 410,000 premises, with 135,000 active subscribers.
TPG will remain the anchor customer, key technology partner and shareholder in Vision, but is looking to sell a majority stake.
According to a paper being shopped by the bank, Vision’s “unique and hard to replicate infrastructure network” is projected to bring in more than $100 million revenue, operating at a “mid-50 per cent” EBITDA margin.
Australia’s fixed broadband dynamics and data traffic is projected to grow 30 per cent each year over the next 20 years, according to the paper.
Given that Uniti Group, which has a similar footprint in Australia, sold for $3.8 billion in August, it is expected that Bank of America will be looking for a similar evaluation.
