Singtel: No assurance of any deal for Australia Optus’ fiber assets

Singtel retail outlet at Tiong Bahru PlazaSingtel retail outlet at Tiong Bahru Plaza; photo taken pre-Covid

Singtel said Tuesday there was no assurance that any deal would emerge for the fiber assets of its Australian subsidiary Optus.

That followed a Bloomberg report Monday, citing people familiar with the matter, that the Singapore telco was considering options for the fiber assets, including a potential stake sale; the article put the value of the assets at potentially “a few billion dollars.”

Other potential options included partnering with an investor or a sale and lease back deal, the sources told Bloomberg, adding Singtel was at a preliminary stage in determining what to do with the assets.

On Tuesday, Singtel said: “Singtel regularly reviews its options to optimise its assets and operating model. Singtel wishes to emphasise that
there is no certainty or assurance that any transaction will occur.”

In October 2021, Singtel had entered a deal to sell a 70 percent stake in Australia Tower Network (ATN) to Australia’s largest superannuation fund, AustralianSuper, for around A$1.9 billion. That deal involved 2,312 mobile network towers and rooftop sites.

Under the terms of the deal, Optus will continue to access the towers via a long-term lease agreement with ATN, and the telco will be the anchor tenant on 565 new build-to-suit towers over the next three years, forming an integral part of its 5G network.


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