Singapore Telecom has decided not to sell its Optus Satellite division despite considerable interest from the market. The company said in statement that it had conducted a full strategic review of its options and had decided “[it is] committed to growing and investing n the satellite business”.
It seems that despite the interest from players such as Intelsat in the business, the prices offered fell below the “more than $1.8 billion) that SingTel was targeting, with reportedly $1.7 billion the top offer.
It is not yet clear whether the medium-term intention will now be to mount an IPO for the division, which will see its sixth satellite launch later this year. Optus has plenty of solid anchor clients, not least ABC, Foxtel and Australia’s Department of Defence.