Today's announcement sets out the process to enable the legal restructure, including:

• The establishment of a new holding company for the Telstra Group.
• The creation of separate subsidiaries including InfraCo Fixed (which will be the existing Telstra Corporation), InfraCo Towers, ServeCo and Telstra International, and transferring the relevant assets into InfraCo Towers and ServeCo.
• It is proposed that the establishment of the new holding company and the transfer of the relevant assets into ServeCo be undertaken by way of schemes of arrangement, and Telstra intends to seek shareholder approval of these schemes at this year's AGM in October.

Following the restructure, Telstra shareholders1 will own shares in the new holding company on a like for like basis with no change to their ownership levels. Telstra Chairman John Mullen said realising more value from Telstra's infrastructure assets was one of the fundamental pillars of Telstra's T22 strategy.

"Even before the COVID pandemic reminded us of the enormous importance of telecommunications infrastructure globally, we could see the opportunity to provide transparency of our assets and opportunities to deliver additional value for shareholders," Mr Mullen said.

"The legal restructure is a step toward that outcome. It also reflects the new post-COVID world we are living in and the fact that our assets are a critical part of the infrastructure that is enabling the nation's rapidly growing digital economy.

"In addition to shareholder and court approval there a number of other steps to work through, including taxation, stamp duty rulings and discussions with Government, Regulators and other key stakeholders.

"We will provide detailed information on these steps to our shareholders, and a recommendation from an independent expert, in a scheme booklet expected to be released in early September 2021.

Telstra CEO Andrew Penn said the new legal structure would be an important milestone in Telstra's T22 strategy and came at a significant inflection point in the company's history.

"We started setting up InfraCo almost three years ago and what has happened since has only reinforced the importance of the strategic decisions we made at the time," Mr Penn said.

"The end of the impact of the nbn rollout on our financials is within sight, and the COVID-19 pandemic has demonstrated the critical importance and value of telecommunications infrastructure to the world.

"The new structure has been chosen as it delivers a modern, optimal long-term portfolio structure for the Telstra group of businesses, which will maximise flexibility and value realisation of our assets, and deliver optimal outcomes for the Telstra Group as a whole."

Mr Penn said Telstra continued to engage and consult with stakeholders to ensure it understood the implications of the restructure for them.

"This includes discussions with the Government and Regulators to ensure Telstra's existing regulatory obligations will continue to operate as they do today. Given our significant relationship with nbn co we are also working with them to ensure our commercial arrangements will continue to operate in the way they do today," Mr Penn said.

"As we prepare for the restructure we will also undertake discussions with key customers, suppliers and with Telstra's existing debt providers to ensure their interests are appropriately considered."

Mr Penn said the proposed monetisation of InfraCo Towers remains on track.

"As previously communicated, we plan to commence the process for external strategic investment into InfraCo Towers early in FY22, with binding offers to be submitted in the second quarter of FY22," Mr Penn said.