SingTel

[CityFarmer]

Not sue why Singtel is selling Optus Satellite, probably to raise cash for investment in Myanmar? It is moving money from slow growth to higher growth market.

However, with the depreciating A$, it is getting less for its sales now, if the sales is successful.

The last exchange rate used was 1 A$ = S$1.22, the latest rate min ago is 1 A$ = s$ 1.18. IMO, the drop is not much for a serious concern.

Depending on how long it takes to conclude the deal, the FX impact may be a concern. If A$ drops to 1 A$ = S$1.15 as many analysts have predicted, it is a 5.7% depreciation compared to 1 A$ = S$1.22. 5.7% X A$2 billion = $114.7M, that is a lot of money IMO.

Yes, i agree. FX is always an important factor for oversea operations, but may not be a serious concern at the moment, IMO.

The FX loss remain a paper loss, till the moment the money is transferred out of Australia.

BTW, the update on the NewSat below

NewSat flags interest in Singtel’s sale of Optus unit

Australian satellite communications company NewSat has flagged its interest in Singapore Telecommunications Ltd’s A$2 billion ($2.36 billion) sale of its Australian unit, Optus Satellite.

NewSat chief executive Adrian Ballintine said a number of private equity firms and investment banks have approached the satellite operator about potential partnerships.

http://www.theedgesingapore.com/the-dail...-unit.html

[CityFarmer]

The bidding result is coming out soon... and SingTel is one of the bidder...

Make or break moment for Myanmar reforms in opaque telecoms sector

YANGON - Companies awarded telecommunications licences in Myanmar this week will need to spend billions of dollars rolling out networks across a country that has yet to pass a law to govern the sector and where opaque, state-owned enterprises will remain players.

The process is being watched closely as a test case for reform in Myanmar, although the risks did not stop 90 international firms and groups from joining the initial phase.

Faced with big investments and uncertain returns however, Vodafone Group and China Mobile dropped their joint bid for a licence, saying it did not meet their “internal investment criteria.” The remaining 11 short-listed contenders include Singapore Telecommunications, KDDI and Telenor.

http://www.todayonline.com/business/make...oms-sector

[Dividend Warrior]

Singtel did not win the bid

[CityFarmer]

Singtel did not win the bid

The news detail below... Well, no more CAPEX in billions of dollars in the next few years...

Norway’s Telenor, Qatar Telecom win Myanmar telecom licences

YANGON – Norway’s Telenor and Qatar Telecom will become Myanmar’s first foreign telecommunications operators after clinching on Thursday two hotly contested licences to develop the Southeast Asian country’s nascent but potentially lucrative telecommunications industry, the Dow Jones news agency reported.

Telenor and Qatar Telecom defeated nine other finalists in the tender, including a consortia led by France Telecom, Singapore Telecommunications and India’s Bharti Airtel. The two winners will operate alongside Myanmar’s two existing telecommunications operators.

http://www.todayonline.com/business/norw...m-licences

[Ben]

Singtel did not win the bid

The news detail below... Well, no more CAPEX in billions of dollars in the next few years...

So maybe can look forward to a special dividends next year, since Singtel has been trying to raise cash

[Dividend Warrior]

Singtel did not win the bid

The news detail below... Well, no more CAPEX in billions of dollars in the next few years...

So maybe can look forward to a special dividends next year, since Singtel has been trying to raise cash

Singtel usually does capital management once every 5 years.

The last one was in 2011.

So, I am hoping for another one in 2016.

[lonewolf]

Singtel usually does capital management once every 5 years.

The last one was in 2011.

So, I am hoping for another one in 2016.

Really? Let see what the dividend history tells us.
[Image: Singtel-Div-History_zps2d0025c7.jpg]
[Image: Singtel-Div-History-02_zpscaeb79e4.jpg]

See any pattern in the share cancellation/capital reduction/special dividend history? Well, there is none. So much for your 'once-in-5-years' theory.

[Dividend Warrior]

Once every few years!!!!!!!!!!!!!!!!!!!!!!!!!!

[CityFarmer]

Kim Eng analyst's view... and I concur...

Myanmar loss not a bad thing for SingTel

Singapore Telecommunications Ltd’s failure to win a licence in Myanmar could turn out to be a boon as it will not have to commit huge investment in an opaque regulatory environment, said Maybank Kim Eng.

“We believe this is a better outcome for SingTel as it will not have to spend billions for a long-dated result, but now have the opportunity to work with the winners to help them build out the necessary infrastructure, thus ensuring positive returns almost immediately,” Maybank said in a research note.

http://www.theedgesingapore.com/the-dail...gtel-.html

[CityFarmer]

Further update on SingTel's Optus satellite sale...

Eutelsat to SES said to proceed to Optus satellite final bidding

Eutelsat SA, SES SA and Inmarsat Plc are among companies that proceeded to a final round of bidding for Singapore Telecommunications Ltd.’s Australian satellite unit, people with knowledge of the matter said.

Private equity firms KKR & Co. and Carlyle Group LP dropped out of bidding for Optus Satellite, the people said, asking not to be identified as the information is private. SingTel is seeking more than A$2 billion ($2.3 billion) for the business, they said.

http://www.theedgesingapore.com/the-dail...dding.html