The Chorus Ltd (ASX: CNU) share price is on watch this morning after a pre-market announcement from the telecommunications infrastructure group.
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Why is the Chorus share price on watch?
Chorus today reduced its indicative Maximum Allowable Revenue (MAR) range. The Kiwi telco group reduced its MAR range to $680 million to $710 million. That represents a reduction from the previous $715 million to $755 million per annum range.
All of this is part of the group's submissions and calculations for the latest New Zealand Commerce Commission regulatory process. Chorus CFO David Collins said the company holds "the strong view that the MAR should be set above forecast fibre revenue to maximise the socio-economic benefits of the investment we and the government have made in the Chorus fibre network".
The MAR is a key component of the regulatory assessment for the Commerce Commission. It also comes as part of the wide-ranging review of the New Zealand fibre network industry.
The Chorus share price will be one to watch following this morning's update on both the ASX and New Zealand's Exchange (NZX). Shares in the Kiwi telco climbed 1.6% higher on Friday to close at $6.44 per share.
That's not far from the group's 52-week low of $5.95 having slid 11.4% lower in 2021.
What else is happening on the ASX?
There is a bit happening for the S&P/ASX 200 Index (ASX: XJO) after the Easter break. The Reserve Bank of Australia will meet this afternoon for their monthly cash rate decision. No doubt investors will be keeping a close eye on any announcements.
Shares in major oil producers could be under pressure as crude oil prices sank lower before the weekend.
Away from ASX 200 shares, the SG Fleet Group Ltd (ASX: SGF) share price will be on watch as it returns to trade for the first time since Wednesday 24 March. The company announced a ~$86 million capital raising as it looks to fund its $387 million LeasePlan ANZ acquisition.
