New $500m telco field services agreement with Chorus NZ

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Stock Downer Edi Ltd (DOW.ASX)
Release Time 28 Feb 2025, 8:12 a.m.
Price Sensitive Yes
 Downer awarded $500m telco field services contract with Chorus NZ
Key Points
  • Downer awarded 7-year, $500m field services agreement with Chorus NZ
  • Contract covers construction, maintenance, and customer connections for fibre and copper networks
  • Expands Downer's existing partnership with Chorus, which has spanned over 20 years
Full Summary

Downer EDI Limited (Downer) has announced that it has been awarded a new seven-year Field Services Agreement (FSA) by New Zealand telecommunications infrastructure provider, Chorus Limited (Chorus). The contract is valued at more than NZ$550 million (~A$500 million) and replaces and expands the scope of Downer's current FSA with Chorus, which has been in place since 2022. Under the new FSA, which commences on 1 April 2025, Downer will provide services spanning the South Island and lower and central North Island. The scope of work covers construction and augmentation of the fibre network, copper and fibre network maintenance and restoration, customer connections, and maintenance in single dwelling, multi-dwelling and commercial premises. Downer's Chief Executive Officer, Peter Tompkins, stated that Downer is proud to be a long-term partner of Chorus, having supported the build and operation of their network for more than 20 years. He noted that Downer is a leader in the telecommunications sector in Australia and New Zealand, with the core capability and technical expertise to support the evolution of their customers' networks. The new contract expands the scale of services Downer delivers under the FSA, reflecting Downer's track record of exceptional performance and strong relationship with Chorus. Downer looks forward to furthering its partnership with Chorus to provide end-to-end technology and communications solutions, and is committed to enhancing Chorus customers' experience as they connect to the network or have faults repaired.