Powertel shareholders approve Telecom deal

MELBOURNE - PowerTel Ltd, Australia's No 2 broadband operator, said today its shareholders had approved a A$320 million ($359.000 million)
takeover by New Zealand's Telecom Corp Ltd.

PowerTel Managing Director Paul Broad said the deal should be completed early next month, pending final court approval.

Telecom has said it planned to merge its poorly performing AAPT unit with PowerTel to help it compete in the tough Australian telecoms market.

Telecom has said a presence in Australia is important because of strong demand for telecommunications services between Australia and New Zealand.

PowerTel shares were up 0.4 per cent and Telecom NZ shares up 1.4 per cent in early afternoon trade.

- REUTERS