Spark NZ sells 10% stake in Hutchison Australia

The news: Telecoms company Spark New Zealand has agreed to sell its 10% shareholding in the Australian arm of Hutchison Telecommunications, an ASX-listed subsidiary of Hong Kong-based conglomerate CK Hutchison Holdings.

The numbers: Spark said the deal is expected to deliver cash proceeds of NZD47 million ($43.5 million) in July, which will be used to reduce net debt.

The context: Spark agreed to sell the stake to Hutchison Telecommunications Amsterdam, a Dutch subsidiary of CK Hutchison Holdings, which serves as an investment vehicle for the groups' telecommunications interests.

The company said the move to divest the shareholding was consistent with its current strategic review of non-core assets.