SingTel stake in Optus reaches 22 percent

By Staff writers
28 June 2001 03:15 PM
Tags: singtel, optus, singapore, defence
Singapore Telecoms, which is in the process of taking over Cable & Wireless Optus, has now acquired 22.19 percent of Australia's second largest telco.

According to documents lodged by lawyers Blake Dawson Waldron, with the Australian Stock Exchange, the Singapore company owns 840.2 million Optus shares, of which 751 million are from an early agreement between SingTel and Cable and Wireless, which has 52.5 percent of Optus.

SingTel has offered Optus shareholders three schemes worth about AU$14 billion.

The Age newspaper in Melbourne has reported that SingTel's bid for Optus will win federal government approval, "with the Defence Department agreeing to back the takeover after finalising guarantees on the security of its satellite communications this week."

On Friday, SingTel extended its Optus bid by a month.

Australia's Foreign Investment Review Board has said it will take 90 more days to decide if it will give SingTel's takeover bid the green light.

SingTel is 78 percent owned by the Singapore government, raising defence concerns because of Optus's contract to operate a defence satellite for the Australian government.

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