Telecom is considering its options for its underperforming Australian arm, AAPT, and has sold its stake in another Australian phone company, Macquarie Telecom, for $A9.9 million.
An Australian newspaper reported the Australian Internet provider iiNet is close to a deal to buy AAPT's consumer business, after an offer from TPG Telecom for the entire company fell through.
Trading in iiNet's shares has been halted pending an announcement on a possible acquisition.
Telecom shares have gained 3 cents to $1.99.
