The agreement includes TPG’s fibre network infrastructure, EG&W fixed customer base, IT assets, international submarine cables, and Vision Network’s wholesale residential broadband business.

Post acquisition, Vocus will operate a network of 51,000 km of owned or leased fibre under long-term right of use arrangements, 14,700 km of international submarine cables, and 19,000 connected buildings.

TPG will retain its mobile radio network infrastructure, consumer and EG&W mobile business, and its consumer and small office/home office commercial fixed business.

According to Vocus, the acquisition will position it as a key digital infrastructure operator in Australia, with an extensive integrated network of high-quality subsea, metropolitan, intercapital and regional fibre with significant breadth and scale.

Under the agreement, TPG will have ongoing access to Vocus’ fibre infrastructure.

Jarrod Nink, Interim Chief Executive Officer at Vocus said the agreement is an important step towards creating a more competitive landscape for the Australian telecommunications industry.

“Digital infrastructure is the foundation of the modern economy, driving growth and innovation, and opening new markets and opportunities,” Nink said.

"Investment and competition in our industry is critical for Australia’s future and the combined strengths and resources of Vocus and TPG in the EG&W sector will create immediate and lasting benefits for our customers, employees and shareholders."

Ani Satchcroft, Co-Head of Infrastructure for Asia Pacific at key Vocus shareholder Macquarie Asset Management said the investor has continued to identify and actively pursue opportunities for Vocus presented by the increasing importance of digital infrastructure assets in the Asia Pacific region.

“Today’s agreement builds on our 2022 merger of Vocus’ New Zealand’s operations with 2degrees, which successfully created New Zealand’s third-largest integrated telecommunications company and has driven competition in that market," Satchcroft said.

“Combining TPG’s highly complementary assets with Vocus’ existing footprint will create a key digital infrastructure operator in Australia, providing significant scale to drive new opportunities to compete and better serve customers across the region.”

Vocus will acquire TPG’s PPC-1 submarine cable which runs from Sydney to Guam, accompanying Vocus’ existing Australia Singapore Cable, North-West Cable system, Darwin-Jakarta-Singapore Cable system, and the in-progress Pacific Connect cable system.

The deal also includes TPG’s Vision Network wholesale residential broadband assets, with assets in major capital cities; Ballarat, Mildura, and Geelong; supporting Vocus’ growing consumer and NBN wholesale business.

The acquisition is subject to conditions including regulatory approvals from the FIRB and the ACCC.