Sterlite Technologies gains 12% on deal with Australian telecom solutions provider Vocus

Sterlite Technologies Limited (STL) shares closed more than 11% higher ending their three-session losing streak on Monday, April 1, following the company’s partnership with Australian telecom solutions provider Vocus Group.

In a filing to the stock exchanges, the data cables supplier for telecom networks announced entering into a new multi-year partnership with Vocus Group for quicker deployment of high-capacity networks in Australia.

As part of the deal, Vocus will increase the usage of STL’s ultra-slim profile Micro TM cables in its network along with the use of STL’s flagship Stellar TM fibre, first-of-its-kind bend-resilient fibre with backward compatibility to fibre found in legacy networks.

The addition of the bend-resilient fibres is likely to improve Vocus network quality with lower losses, higher network availability and longer lifetime, STL informed the bourses.

Following the announcement, shares of Sterlite Technologies gained as much as 12.31% during the session to touch an intraday high of ₹124.45 apiece on the NSE. However, STL shares pared early gains to close 11.5% higher at ₹123.6 apiece.

Vocus presently owns and manages over 25,000 km of fibre network in Australia that is purpose-built and managed for businesses and the Government.

STL has been actively involved with Vocus in developing optical fibre solutions tailored to its goal of delivering high-speed connectivity across Australia, the exchange filing read.

The company has been supporting its Australian partner in building, operating, and maintaining its extensive fibre network with its world-class optical networking solutions made sustainably at its “Zero Waste to Landfill” and “Zero Liquid Discharge” certified facilities.

In the last three years, STL has supplied more than 1000 km of optical fibre cable to Vocus.

Commenting on the development, Paul Atkinson, CEO - Optical Networking Business, STL, said, “Our collaborative efforts with Vocus in developing tailored optical fibre solutions reflect our shared commitment to delivering high-speed connectivity across Australia and resonate with our purpose of transforming billions of lives by connecting the world. We are confident that our advanced optical networking solutions can elevate Vocus’ network quality, guaranteeing exceptional connectivity.”

A global optical and digital solutions company, STL provides advanced offerings to build 5G, rural, FTTx, enterprise and data centre networks.