Singtel, Southeast Asia’s largest telecom operator based in Singapore, sold a 2.8% stake in Thailand’s Gulf Development directly to institutional investors for about S$1 billion (US$773 million) on June 23, as it raises cash for new investments.

The sale is expected to generate an equity gain of about S$140 million (US$108 million) and leave Singtel with a 4.95% stake in Gulf Development, worth about S$1.8 billion (US$1.39 billion).

Gulf Development, a Thai company with investments in energy, infrastructure, and digital businesses, has signed a data center services agreement tied to Microsoft’s cloud region in Thailand.

The divestment comes as Singtel plans to raise capital expenditure to about S$3 billion (US$2.32 billion) this fiscal year from S$2.5 billion (US$1.93 billion) a year earlier.

Singtel said the proceeds will help reallocate capital toward digital infrastructure investments.

🔗 Source: CNBC

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