Ventia (ASX:VNT) and Telstra (ASX:TLS) A five-year strategic agreement was signed.

The deal is expected to generate revenue for Ventia of more than $400 million annually and more than $2 billion over five years.

Under the agreement, Ventia will manage the lifecycle and fixed network services for Telstra’s digital infrastructure facilities across Australia. This includes designing, building, and maintaining critical digital assets. The agreement also includes major asset transfers and commercial construction, as well as ongoing support for the design and construction of key network elements, including wideband, fiber, data, IP networks and wireless systems.

Dean Banks, Chief Executive Officer and Managing Director of Ventia Group, said: “We are proud to have been a trusted partner of Telstra for almost 30 years and are committed to supporting Telstra’s strategic objectives. We are excited to expand our partnership.”

The new contract is expected to take effect in early 2025, after the existing contract expires in late December 2024.

Ventia stock is trading 2.9% higher at $3.55.