Latest news with #RishavChatterjee
Time of India
5 days ago
- Business
- Time of India
Singapore's Keppel to sell M1 stake to Simba Telecom for a net $778 million
By Rishav Chatterjee and Yantoultra Ngui SINGAPORE : Singapore's Keppel is selling its 83.9% stake in subsidiary M1 Ltd to Simba Telecom while retaining the non-telecoms operations of its unit in a deal that will give the asset manager net cash of S$1 billion ($778.15 million). Keppel said on Monday it will sell M1's telecoms operations for an enterprise value of S$1.43 billion, and retain the fast-growing information and communications technology business, which also includes data centres and subsea cables. M1 and Simba are Singapore's third- and fourth-largest mobile operators by market share, trailing Singapore Telecommunications and StarHub. "The proposed transaction offers a strategic path to sustainable growth for Singapore's telco sector," Keppel CEO Loh Chin Hua said in a statement. Keppel said the deal would benefit the industry and consumers by consolidating the market and unlocking synergies between two digitally driven operators. Backed by state investor Temasek, Keppel said the divestment aligns with its strategy to operate an asset-light model, and will sharpen its focus on digital infrastructure within its connectivity segment. Keppel, which first invested in M1 in 1994 as a founding shareholder, said Simba had submitted the strongest bid among interested parties, and its combination with M1 is expected to create further revenue opportunities. It said it expects to record an estimated accounting loss of S$222 million on the deal. Loh said the proceeds can be used for Keppel's growth opportunities and lower its debt or reward its shareholders. "This will not only improve the new Keppel's ROE (return on equity) but also support the market's further re-rating of Keppel," he added. Shares of Keppel, which are under a trading suspension due to the deal announcement, have climbed 25.4% year-to-date, outpacing the 11.9% rise in the benchmark Singapore index , LSEG data showed. Simba Telecom is wholly owned by Australia-listed Tuas . In a separate statement, Tuas said it is looking to raise at least A$416 million ($271.15 million) through a placement and share purchase plan. M1's operations, excluding the businesses that Keppel intends to retain, recorded revenues of S$806.1 million and an EBITDA of S$195.4 million in the year ended April. Keppel said it hopes to complete the proposed transaction over the next few months, subject to regulatory approval. DBS is the financial adviser to Keppel for the proposed deal, according to the announcement.
The Star
08-08-2025
- Business
- The Star
Australia's Iress in buyout talks with Blackstone, Thoma Bravo
FILE PHOTO: Logo of Blackstone is pictured in Manhattan, New York City, U.S. July 29, 2025. REUTERS/Mike Segar/File Photo (Reuters) -Australia's Iress said on Friday it had previously considered a takeover approach from Blackstone and is now in preliminary discussions with both the U.S. investment company and private equity firm Thoma Bravo over a fresh proposal. The initial proposal from Blackstone valued Iress at A$1.94 billion ($1.27 billion) but was later withdrawn, the Australian financial software firm said, without providing further details in its statement. The takeover bid comes at a time when global private firms are gathering more interest for Australia-listed software players. Earlier in the week, automotive software platform provider Infomedia agreed to a A$651 million takeover by TPG's Asia-focussed private equity fund. "Iress is currently in the early stages of engagement with Blackstone and Thoma Bravo in order to ascertain whether an offer can be made which can be recommended by the Iress Board," the company said on Friday. The announcement follows a report by the Australian Financial Review that Iress was in talks with Blackstone over a potential buyout, which could value the company at about A$1.9 billion. Blackstone declined to comment, while Thoma Bravo did not immediately respond. Iress is not unfamiliar with takeover interest from private equity firms, having previously drawn a $3 billion deal from Swedish investment firm EQT in 2021. The deal ultimately fell through after EQT walked away despite making several improved offers. The company's stock closed at A$8.38 per share on Thursday, having lost more than 44% in market value since touching its record high in August 2021. In February, Iress reported a net profit after tax attributable of A$30.1 million in fiscal 2024, along with A$604.6 million in revenue. The company will release its half-year earnings next week. ($1 = 1.5323 Australian dollars) (Reporting by Rishav Chatterjee and Sneha Kumar in Bengaluru; Editing by Leroy Leo and Sherry Jacob-Phillips)
Time of India
05-08-2025
- Business
- Time of India
Australia's TPG Telecom flags $1.9 billion payout to reset structure, cut debt
By Rishav Chatterjee Australia 's TPG Telecom said on Tuesday it would return A$3 billion ($1.94 billion) to shareholders as part of a broader plan to streamline its capital structure and reduce debt, sending its shares to a three-year high. TPG finalised its A$5.25 billion transaction with Macquarie-backed Vocus in July, generating net cash proceeds of A$4.7 billion. Shares in TPG rallied as much as 4.2% to their highest since August 2022. To cushion the impact of the capital return on its free float, TPG will offer minority shareholders the option to reinvest their proceeds into new company shares. The re-investment is expected to raise A$688 million, lifting TPG's free float from 23% to around 30% at current prices, and allowing minority holders to increase stakes. The capital raise could be value-accretive by reducing debt, but flags potential dilution concerns depending on how the new shares are structured, Bell Direct senior market analyst Grady Wulff said. TPG's top shareholders, including CK Hutchison, Vodafone, Washington H Soul Pattinson, and the founding family, support the proposal and together hold around 77% of the register. The company added it would use A$1.7 billion from the Vocus proceeds and the A$688 million raised to repay up to A$2.4 billion in bank borrowings "We anticipate strong free cash flow generation over the coming years due to service revenue growth, operating cost efficiency, capital expenditure reductions, and lower borrowing costs," said CEO and managing director Inaki Berroeta. However, TPG cut its annual pro-forma earnings forecast to a range of A$1.61 billion to A$1.66 billion, down from A$1.95 billion to A$2.03 billion, reflecting the absence of earnings from the divested assets. Intensifying competition and new players are putting downward pressure on margins, and TPG's revised outlook highlights the broader challenges all telecom providers are now facing, added Wulff.
Zawya
03-07-2025
- Business
- Zawya
Alibaba looking to raise $1.53 billion through exchangeable bonds for cloud, commerce push
Chinese tech giant Alibaba Group said on Thursday it is seeking to raise around HK$12 billion ($1.53 billion) through exchangeable bonds to boost investments in cloud infrastructure and global commerce operations. The bonds link to Alibaba Health Technology, the group said. Investors can later exchange these bonds for shares in Alibaba Health, and the bonds will not pay interest over time. Alibaba Group holds more than 44% of Alibaba Health. The debt sale follows Alibaba's $5 billion dual-currency bond in November, which was the largest deal of its kind in Asia-Pacific during 2024. Thursday's offering comes as more investors tap the Asian credit market after monetary and fiscal stimulus by Beijing policymakers improved the region's debt appeal.. Hong Kong-listed shares of Alibaba Group closed 2.9% lower at HK$106.20 on Thursday, while Alibaba Health stock ended down 2.8%. ($1 = 7.8496 Hong Kong dollars) (Reporting by Rishav Chatterjee in Bengaluru; Editing by Tasim Zahid)
Time of India
30-06-2025
- Business
- Time of India
US-based I Squared Capital dumps plans to make separate offer for Hong Kong's HKBN
By Rishav Chatterjee U.S.-based infrastructure investment firm I Squared Capital has withdrawn plans to make a takeover offer for Hong Kong's HKBN , the broadband operator said on Monday, as a competing bid backed by a state-owned entity takes center stage. The announcement comes over a month after Reuters reported that China Mobile was nearing a deal to take over HKBN with I Squared having dropped out. I Squared already owns Hong Kong-based broadband provider HGC Global Communications , in which China Investment Corp. holds a minority stake. However, the Miami-based firm has so far been unable to secure approval from the Chinese sovereign wealth fund to proceed with a formal bid for HKBN, according to the Reuters report. Rival suitor China Mobile built a 15.5% stake in HKBN from buyout company TPG and has offered HK$7.8 billion ($993.64 million) for the broadband firm. I Squared was preparing to trump China Mobile's offer of HK$5.23 per HKBN share, which was made in December, but was not keen to pay more than HK$6 apiece, Reuters reported in January. HKBN CEO William Yeung said in May it was a "rumour" that China Investment Corp had vetoed I Squared's plan to present a formal offer for HKBN. The takeover offer from China Mobile was not good enough and HKBN was open to engage with more bidders to get the best value for its shareholders, Yeung had said. "Despite the HKBN CEO's comments that the China Mobile offer is not good enough, China Mobile has no pressing need to bump if a competing offer fails to materialise," Smartkarma's Arun George said in a note before HKBN's announcement on Monday. I Squared Capital did not immediately respond to Reuters' request for comment over why it decided to walk away from making an offer. China Mobile also did not respond to a request for comment.
