Singaporean telco group SingTel has announced that it is conducting a strategic review of its Optus Satellite business.
Credit Suisse and Morgan Stanley have been appointed as financial advisors, according to the company’s statement to the Singapore…
Singaporean telco group SingTel has announced that it is conducting a strategic review of its Optus Satellite business.
Credit Suisse and Morgan Stanley have been appointed as financial advisors, according to the company’s statement to the Singapore Exchange.
The review is “to optimise value for shareholders”, said SingTel.
Optus Satellite, which offers TV, mobile and broadband services in Australia, recorded revenues of A$319m (US$331m) for the financial year ended 31 March 2012.
The company operates a fleet of five satellites, with another satellite, Optus 10, scheduled for launch in 2013, according to the statement.
It is thought that the strategic review could lead to a sale or IPO of the assets, with an analyst quoted by Reuters as saying that the business could be worth US$1.6bn-US$2.1bn.
SingTel’s underlying net profit went down 3% from S$3.8bn (US$3.040bn) in 2011 to S$3.68bn (US$2.94bn) in 2012, due to lower earnings from Indian associate Airtel and weaker regional currencies, according to the company’s financial results.
