Top member reports
No meetings
Consensus community valuation
The consensus valuation is for members only and has been removed from this chart. Click for membership options.
No value forecast available for this company
Contributing Members
Content is delayed by one month. Upgrade your membership to unlock all content. Click for membership options.
Valuation of $9.90
stale
Added 4 years ago
20-Feb-2020: My new 24-month TP for TPG Telecom (TPM) is $9.90, based on potential, and because they went all the way to $12.61 in mid-2016, and I think they're a better company now than they were then. They have now got the green light (via the federal court recently overturning the ACCC decision that had previous blocked the merger) to merge with Vodafone, and that now justifies David Teoh's decision last year to abandon TPG's own mobile network roll-out (which itself was based on now-banned Huawei equipment). They now get the Vodafone mobile network and that pretty much completes the package for TPG, allowing them to be a full-service telecommunications company - there are no missing links any more. They will of course upgrade and expand that mobile network but the associated costs and risks are far lower now than if they had continued to build their own mobile network from scratch. I doubt we'll see much in the way of immediate gains in the SP of TPM, but over a 2-year period (from here), I believe it will prove to be a pretty good investment. Further Reading: https://www.abc.net.au/news/2019-03-07/why-is-the-uk-seemingly-not-as-worried-about-huawei-as-australia/10866848 20-Aug-2020: Reviewed. All good. Still $9.90, even after the divestment of the Singapore network assets (into TUA: the Tuas Group). Not currently holding, but I still think they'll go over $10 within 2 years and are probably going to go up to $9.90 a few times in the meantime (and probably bounce off $10 once or twice), before powering through $10 at some point, with conviction. They are the up-and-coming Telco, that is primed to take more and more market share off Telstra and Optus, particularly now that TPG and Vodafone have merged and TPG now have a fully built mobile network that they just have to expand and improve - rather than build out from scratch. 18-Feb-2021: My $9.90 valuation was marked as "stale" so I'm reviewing it. My comments from August 2020 (above) still apply - it hasn't happened yet, but I think it will happen. I'm still happy with a $9.90 price target for TPG Telecom, and I am now holding TPG as one of the top 10 (largest) positions in one of my main RL PFs (real life portfolios). I think David Teoh is going to make Vodafone work as a viable third 5G mobile network here in Australia - as part of TPG. He will invest the money that is required to achieve that, and his cornerstone backers, Washington H Soul Pattinson & Co. (ASX:SOL), will back him all the way. It will take some months to achieve, perhaps as long as 12 to 18 months, but it will happen, and then look out Optus and Telstra, because TPG will be a force to be reckoned with.
Read More
#Special Dividend
stale
Added 4 years ago

12-June-2020:  How do you get your SP to rise on a day when the ASX200 and the All Ords are both down by between 1.5% and 2%?

Here's how:  TPG Special Dividend

Pursuant to section 7.3 of the Scheme Booklet released to shareholders on 19 May 2020, TPG Telecom Limited (ASX: TPM) (TPG) is pleased to advise the expected quantum of the TPG Special Dividend. 
 
Subject to the Scheme becoming Effective and the TPG Board resolving to pay the TPG Special Dividend (which the TPG Board intends to do once the Scheme has become Effective):

  • the quantum of the TPG Special Dividend is expected to be in the range of $0.49 per share to $0.52 per share;
  • the TPG Special Dividend will be distributed to TPG Shareholders in the form of a fully franked cash special dividend in accordance with their holding as at the TPG Special Dividend Record Date (7.00pm (Sydney time) on 1 July 2020); and
  • the TPG Special Dividend will be paid to TPG Shareholders prior to Implementation of the Scheme. 

 
Update on Scheme Meeting and Extraordinary General Meeting (EGM) 
 
As a result of the potential health risks and the government’s restrictions on public gatherings in response to the COVID-19 pandemic, TPG Shareholders will not be permitted to physically attend the Scheme Meeting and the EGM to be held on Wednesday, 24 June 2020 at 10.30am (Sydney time).

TPG Shareholders are encouraged to lodge a directed proxy in advance of the Scheme Meeting and EGM. Proxy forms must be submitted to the TPG Share Registry by 10.30am on Monday, 22 June 2020. TPG Shareholders can lodge their proxies by following the instructions on their personalised proxy forms or as set out in the Scheme Booklet.

As detailed in the Scheme Booklet, TPG Shareholders can participate in the Scheme Meeting and EGM online at https://web.lumiagm.com or using the Lumi AGM application. TPG Shareholders will be able to follow the meetings live, vote on resolutions, and ask questions online. Further information about attending the meetings online or using the Lumi AGM application can be found in the Notices of Meeting in the Scheme Booklet.

--- ends ---

Despite this positive news, I don't think TPG (TPM) look particularly appealing at these levels, close to their 12-month high of $8.78 achieved just 2 weeks ago.  The merger with Vodafone going ahead is certainly a positive, but it's still a very competitive landscape for Telcos and the nbn has levelled the playing field somewhat.  I think TPG look far more attractive down around $7/share.

Read More
#FIRB approval received
stale
Last edited 5 years ago

07-May-2020:  FIRB approval obtained   and   HTA: FIRB Approval of VHA/TPG Merger

TPG Telecom Limited (ASX: TPM) is pleased to advise shareholders that another key condition precedent to its merger with Vodafone Hutchison Australia Pty Ltd (VHA) has been satisfied with VHA having received Foreign Investment Review Board (FIRB) approval permitting the merger to proceed.   
 
TPG and VHA are continuing to work towards completion of the merger in mid-2020. The merger will be implemented via a Scheme of Arrangement and a Scheme Booklet outlining the information TPG shareholders require to evaluate the Scheme will be released in the coming weeks ahead of a Scheme Meeting at which TPG shareholders will have the opportunity to vote on the Scheme.   

--- ends ---

From VHA:

VHA merger with TPG Telecom receives final regulatory approval  

Foreign Investment Review Board gives green light 
 
7 May, 2020: Vodafone Hutchison Australia (VHA) is pleased to have received Foreign Investment Review Board (FIRB) approval to allow its merger with TPG Telecom Limited (TPG) to proceed.  
 
VHA Chief Executive Officer Iñaki Berroeta said the FIRB approval meant the merger process was now well underway.  
 
“The merger is now another significant step closer to reality, and we’re progressing our plans to bring the two companies together mid-year,” Mr Berroeta said.  
 
“The Scheme Booklet will be released in coming weeks and submitted to TPG shareholders for approval, Australia will soon have a third fully-integrated telecommunications company for the first time.  
 
“Using our increased strength and scale, our priorities will be accelerating our 5G plans, delivering the benefits to consumers and investors, and challenging the status quo.”  

 
The merger of VHA and TPG will be implemented via a Scheme of Arrangement. The Scheme Booklet outlines the information TPG shareholders require to evaluate the Scheme and will be released in coming weeks.  A Scheme Meeting will later be held for TPG shareholders to vote on the Scheme and allow the Scheme to proceed to the court for final approval.  
 
VHA is working to finalise all other processes required for its listing on the Australian Securities Exchange and expects the merger to be completed in mid-2020 and with an effective date in the first half of the year. 
 
VHA will continue to keep customers and the market informed of progress towards merger completion. 

--- click on 2nd link above (top) for more of this announcement ---

Earlier in the day, at their AGM, HTA's (Hutchison Telecom Australia's) Chairman said, "The merger recently received the required clearances from the Committee on Foreign Investment in the United States and the US Federal Communications Commission, with a decision from the Foreign Investment Review Board expected shortly."

That FIRB decision was received within hours apparently and was announced later in the day.

HTA own half of VHA and after the merger, HTA will own 25.05% of the combined group, which will be known as TPG Telecom Ltd.  The "new" TPG - the combined TPG and VHA - will have a value of approximately $15 billion.  While David Teoh, who built TPG up from nothing to what it is today, may not hold the top job under the new structure, he will still be the driving force within the company and be making the main strategic decisions you would expect.  He's always the smartest guy in the room, particularly when it comes to telecommunications.  If there is anybody in the industry who is better than Teoh, I certainly haven't heard about them.

Read More
#Singapore Spectrum decision
stale
Last edited 5 years ago

30-Apr-2020:  Singapore 5G Call for Proposal Outcome

TPG Telecom Limited (ASX:TPM) advises the market that it has been informed by the Infocomm Media Development Authority (IMDA) that TPG Telecom Pte Ltd (TPG Singapore) will not be allocated spectrum in the 3.5 GHz band in Singapore (3.5 GHz Spectrum). 
 
The IMDA conducted a 5G Call for Proposal process under which only two 3.5 GHz Spectrum licences were to be allocated to mobile network operators in Singapore for the development of 5G networks in the nation.  
 
The IMDA has put in place requirements for the supply of services by the successful parties to unsuccessful respondents and TPG Singapore expects to look at all options for the delivery of 5G services to TPG customers in the future. 
 
--- END ---

Summary:  TPG (ASX:TPM) will not be allocated spectrum in the 3.5 GHz band in Singapore, which means it will have to rely on other participants to deliver 5G to customers there.  

Read More