Spark New Zealand has sold its 10 percent stake in Hutchison Telecommunications Australia Limited (HTAL) to Hutchinson’s Dutch subsidiary.

Hutchison Telecommunications BV, an Amsterdam-headquartered and wholly owned subsidiary of CK Hutchinson Holdings Limited, has bought the shares for NZ$47 million ($28m).

According to Spark, the decision to divest the stake is part of the company’s current strategic review of non-core assets.

The proceeds will be used to reduce Spark’s net debt, the company said.

Earlier this year, Spark confirmed plans that it’s looking to sell a stake in its data center portfolio. Spark’s data center strategy comprises both large, centralized data centers such as those in Auckland (x3), Waikato, Wellington, and Christchurch (x3), alongside Edge locations in regional cities such as Hamilton, Tauranga, and Dunedin.

The company recently completed the sell off of its Connexa tower unit. The telco sold its remaining 17 percent in Connexa to investment group CDPQ for NZ$311m (US$184.1m) in February. Connexa is now equally owned by CDPQ and Ontario Teachers’ Pension Plan.

Earlier this month, Spark extended its 3G switch-off date to March 31, 2026.

HTAL owns a 25 percent equity stake in TPG Telecom, Australia’s third-biggest carrier.