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Keppel to Let Simba-M1 Deal Lapse After Regulator Suspends Review

The probe could set the tone for future telco consolidation in Singapore.

Overview

  • IMDA, which disclosed the issue Monday, suspended its merger review and began investigating whether Simba used radio frequency bands it was not assigned.
  • Keppel said the sale agreement will expire on Thursday, the May 21 long-stop date set for closing, with no plan to extend.
  • Keppel launched a 90-day plan at M1 to cut network and tech costs and use AI to automate tasks in order to lift earnings without hurting service.
  • Investors sold Tuas and Keppel following Monday’s announcement, driving Tuas down about 60 percent and Keppel down several percent.
  • IMDA said any unassigned spectrum use would breach the Telecommunications Act and licence terms, and its findings will determine if the review resumes and whether it takes enforcement action.