SYDNEY - [AAP] TPG Telecom's (ASX: TPM) chairman says the rollout of the national broadband network has been detrimental to the company, but he is confident the telco's mobile and fixed-line projects will benefit shareholders over the long term.

In a speech due to be delivered at the company's annual general meeting on Wednesday, chairman David Teoh said the building of the NBN had weighed on the company's share price over the past year.

Its shares are about nine per cent lower than they were this time last year.

However, Mr Teoh reassured shareholders the telco was "uniquely positioned" to leverage the infrastructure and customer bases it had built, including its plan to establish its own mobile network, to drive the next phase of growth and deliver value to TPG shareholders.

"Your directors are all shareholders in the company and each of us is, of course, disappointed about the margin headwinds that the group is facing as a result of the building of the NBN network, and the consequential decline in the company's share price over the past year," he said.

"However, I am confident that the strategies we are implementing will continue to create excellent value for shareholders over the long term."

TPG's shares recorded their biggest fall of 2017 when they dropped 16 per cent to $5.50 on April 18, the first trading session after the telco launched a capital raising to help build Australia's fourth mobile network.

During that troubled session, they dropped to as low as $5.33, close to the entitlement offer price, before recouping some of their loss.

"This year has seen us take the initial transformational steps for the next stage of TPG's growth and I am tremendously excited about the opportunities that our mobile projects offer to our group," Mr Teoh said.

 

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