Hamish Fletcher

Hamish Fletcher is a business reporter for the NZ Herald

Chorus shares continue plunge

Chorus shares are down another 4.59 per cent this morning. Photo / Glenn Taylor
Chorus shares are down another 4.59 per cent this morning. Photo / Glenn Taylor

Chorus shares have continued to tumble to a new low this morning - on the back of 35.5c fall last week.

The company's shares were trading at $1.455 around mid-morning, down 4.59 per cent.

This follows revelations last week that the National Government did not have support in Parliament to introduce law that would override the Commerce Commission's recommendation to cut wholesale broadband prices.

That sent the stock reeling to close at a then record low of $1.52 - down 26c from Thursday's close and about half the price it was trading at in July- drawing a "please explain" inquiry from the ASX, where the telecommunications network company is also listed.

Chorus told the ASX that it was not aware of any information but said: "Chorus has been the subject of a range of third party announcements and considerable third party speculation, particularly concerning the UBA [unbundled bitstream access] pricing process."

The network company has said a proposed price cut for wholesale access to its copper lines would force an overhaul of its capital structure and may threaten the taxpayer-subsidised construction of the ultra-fast broadband national fibre cable network.

Read more: Chorus get-together draws flak.

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