Australian telecom giant Telstra Corporation (ASX:TLS) has released a series of announcements on Monday. The company announced a revamped business model for its personal and business mobile plans. The new model will offer free AFL, NRL and Presto subscriptions to draw in more customers. The Go Mobile Plan will start at $55 per month and allow customers to share data automatically across family or household accounts. Customers on the new Go Mobile Plan can also spend an additional $40 per month to add a companion SIM, which doesn’t use its own data but does allow for unlimited voice, SMS and MMS and shares data with the original plan.
Australia’s biggest telecom company has also announced the acquisition of Pacnet Business Solutions China. The Chinese company has operations in 23 provinces across China, including major hubs in Tianjin, Chongqing, Shenzhen, Beijing and Shanghai. Telstra director of marketing, products and pricing, international, Jim Clarke hailed the acquisition as having strong potential for future growth. "We look forward to leveraging their deep network footprint, to extend our service coverage on the mainland and provide customers the same security, redundancy and quality of service offered on the Telstra network,” he said.
Between 1999 and 2011 investors viewed TLS unfavourably. However, shares of Telstra have been in a strong and consistent upward trend since 2011. Australia’s largest telecom offers a strong dividend and has been showing a healthy growth trajectory. TLS has fallen 10c, or 1.62 per cent, to $6.07 per share near the end of trading on Monday. TLS has advanced 16.28 per cent in the last 12 months and 1.68 per cent so far this year.
May 11, 2015
Simon is a financial analyst at independent research firm Wise-owl specialised in small-mid cap growth opportunities and ethical investment opportunities. Simon's aim is to disrupt the cliché approach to investment decision making as he believes that socially and environmentally responsible behaviour is a necessity to long-term wealth creation. Simon has a deep fundamental understanding of the global financial landscape and has compiled 300+ research reports, valuations and corporate appraisals. Simon is commonly featured in major media outlets and his research is published weekly in The Australian. Simon worked for Wise-owl from 2013 until January 2020.