KDDI sells SingTel stake

25 Jun 2003

Japan’s second largest cellco KDDI [Berlin:9433.BE] has announced the sale of its 1.24% stake in South-east Asia’s largest telco Singapore Telecommunications Ltd (SingTel) [Berlin:TELE.BE] for USD195 million. The move is part of KDDI’s plan to sell off some of its outside interests in order to focus on its own telecoms operations in the Japanese market and pay off debt. The split has not been unexpected; in December 2000 a joint project between the two companies to offer data communications to corporate customers was abandoned feeding rumours that the operators did not see eye-to-eye and were looking to separate their interests. KDDI has visibly been reorganising its affairs over the last 18 months, including the selling of real estate and other assets worth USD3.4 billion.