Spark New Zealand launches review of digital division

·       Spark New Zealand (ASX:SPK) launched a strategic review of its digital services division to explore option pathways for shareholder returns.

·       The telecommunications group maintained its FY26 earnings guidance alongside the structural reorganisation.

·       The company aims to sharpen its focus on core connectivity while optimising cloud and IT service operations.

Spark New Zealand (ASX:SPK) has initiated a strategic review of its digital services division as part of an organisational restructure into two separate operational units.

The decision builds on the company's SPK-30 strategy to focus on core connectivity while simplifying its IT and cloud offerings.

“After a significant leadership career spanning 13 years with Spark, Customer Director Greg Clark has decided to explore new opportunities outside Spark,” said Spark New Zealand CEO.

An advisor has been appointed to assist with the review, which is expected to conclude during the first half of FY27, though no transaction terms have been finalised.

Following the announcement, the Spark New Zealand share price was unchanged at $1.54.

The telecommunications provider is splitting its structure into Connectivity, covering mobile and broadband, and Digital Services, which includes cloud and security products.

Executive changes under the new setup include appointing Chief Commercial Officer Mark Beder as Chief Customer Officer of Connectivity to lead the core operations.