Aussie Broadband to Buy AGL Telco and Strike Exclusive Partnership

An update from Aussie Broadband Ltd. ( (AU:ABB) ) is now available.

Aussie Broadband has agreed to acquire AGL Energy’s telecommunications business, AGL Telco, adding an estimated 350,000 broadband and mobile services and 46,000 voice services to its customer base once migration is complete. The deal, expected to close in June 2026 with migration finalised in the first half of FY27, will be paid mainly in shares, with an upfront $115 million equity component and up to $10 million in additional performance-based share tranches.

Alongside the acquisition, the companies have entered a long-term exclusive partnership under which AGL will continue to market telco products under the AGL brand while Aussie Broadband provides the underlying services and customer experience. Aussie Broadband expects the agreement to generate about $235 million in revenue and $21 million in underlying EBITDA in the 12 months after migration, be EPS accretive in the first year post-migration, and help position it as Australia’s third-largest NBN provider with more than 1.25 million broadband connections and nearly 400,000 mobile services, delivering further scale and network synergies over time.

The most recent analyst rating on (AU:ABB) stock is a Hold with a A$4.50 price target. To see the full list of analyst forecasts on Aussie Broadband Ltd. stock, see the AU:ABB Stock Forecast page.

More about Aussie Broadband Ltd.

Aussie Broadband Group is an Australian telecommunications provider focused on NBN broadband, mobile, and voice services for residential, business, and wholesale customers. The company operates its own network infrastructure and has been expanding through organic growth and acquisitions to strengthen its share of the national broadband and mobile markets.

Average Trading Volume: 1,129,467

Technical Sentiment Signal: Hold

Current Market Cap: A$1.28B

See more data about ABB stock on TipRanks’ Stock Analysis page.