SHARES of Singtel : Z74 0% held steady on Wednesday (May 29) after the telco resumed trading, as investors digest its potential deal with partner KKR to buy a US$1 billion stake in data centre provider STT Telemedia Global Data Centres (STT GDC).
The KKR-Singtel consortium is competing with alternative investment firm Stonepeak for a stake of up to 20 per cent, sources told Reuters. STT GDC is one of Asia’s biggest data centre providers.
The telco called for a trading halt right when the market opened, and lifted the halt 45 minutes later after releasing its statement confirming there is no definitive or binding deal at this time.
“Singtel regularly explores and reviews business opportunities, projects and proposals relating to its business and enters into discussions with various parties from time to time,” the telco said in a bourse filing.
It added that when such discussions occur, there is no certainty that any transaction or definitive or binding agreement will materialise from them.
Singtel’s shares rose as much as 0.8 per cent during the morning trading session, but closed 1.2 per cent higher on Tuesday before the media report. The counter was flat at S$2.36 as at 10.10 am.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
