Ratcliffe gets Chorus job, speculation shifts to Reynolds

Mark Ratcliffe Photo / Greg Bowker

Mark Ratcliffe will stay on as chief executive of Chorus when it splits with Telecom later this year, the company says.

Ratcliffe has headed Chorus since 2008 and has been a Telecom employee for more than 20 years.

He was the executive lead of Telecom's bid for Government contracts in the ultra-fast broadband (UFB) scheme, which proposed to split the company up if it was successful.

Telecom's retail branch is set to split from network-arm Chorus later this year as part of its role in the ultra-fast broadband scheme.

Market commentators have labelled the split as one of New Zealand's biggest corporate shake-ups since the 1990s.

With Ratcliffe confirmed as the head of Chorus, attention will now be on Telecom chief executive Paul Reynolds and whether he will stay on with the new retail company.

In May, Reynolds said he had given no thought to leaving Telecom, however some commentators have speculated he will exit the company once the split has taken place.

Chorus will become a separate listed company and will roll out fibre internet cable in 24 cities and towns around New Zealand as part of the split.

This is expected to deliver internet speeds of 100 megabits per second to 75 per cent of New Zealand by the end of 2019.

Sue Sheldon, who has been designated Chorus chair if the demerger occurs said Ratcliffe offered unmatched experience and credibility, including the establishment of Chorus as an operationally separated business unit in 2008.

"We are pleased to have secured Mark's services, not only to lead the transition of Chorus from business unit to stand alone company, but also beyond as the new Chorus establishes itself as New Zealand's fibre partner," she said.

"This appointment will set a stand-alone Chorus in good stead if shareholders approve the demerger transaction."