SingTel    Last:4.16    +0.03

Singtel Bullish???

Looking to extend his gains and recover losses.Had expected it to hit 350 and stay there when singtel hit 3.15. but now singtel lagging by 5 cents while the bargain buy of below 350 is no more. Lets see if it will hit 390 eventually

 

Price Information
Open	345.00
High	352.70
Low	344.45
Last Price	351.60
Prev. Close	343.30
Close Price	-
Change	8.30
% Change	2.42
Average Price	349.17
Total traded quantity	5209585
Turnover in Rs.Lakhs	18190.31

Order Book
Buy Qty	Buy Price	Sell Price	Sell Qty
110	351.45	351.60	342
157	351.40	351.65	353
1050	351.35	351.70	610
1035	351.30	351.75	75
1700	351.25	351.80	2865
649605	Total Buy Qty	Total Sell Qty	1052443
Corporate Action Information
Record Date	-	EX - Date	24-JUL-09
BC Start Date	31-JUL-09	BC End Date	21-AUG-09
ND start Date	24JUL2009	ND End Date	30JUL2009
Purpose	AGM/DIV-RS.2/FV RS10TORS5

 

Bharti opened higher. 

Thur Closed 334.65

Fri Closed 343.30

Today Opened 345.00 Currently 347.65 off from 350 earlier.

Up Rs 13 from 334.65 when Singtel traded at $3.03-3.04. Singtel gained 10 cents per Singtel share on the increased in fair value of Bharti but Singtel share gained 6 cents.

Rupee gaining value against SGD as seen from http://sg.finance.yahoo.com/currency/convert?amt=1&from=SGD&to=INR&submit=Convert

 

 

Business Times - 12 Oct 2009


SingTel wires up to score with business

Coaxial cabling technology to help bring EPL matches to commercial pay-TV clients

By WINSTON CHAI

(SINGAPORE) Fresh from announcing its consumer pricing for the English Premier League matches, SingTel reveals that it has another plan up its sleeve.

The telco has been quietly conducting in-house trials aimed at allowing potentially tens of thousands of local businesses to tune in to the next season of the popular soccer tournament in August 2010.

Field deployment of the networking technology to wire up this lucrative customer segment will begin in the coming months.

In a phone interview with BT on Saturday, SingTel Singapore CEO Allen Lew said the company has carried out a series of in-house 'technical laboratory trials' to determine the feasibility of using coaxial cabling systems to carry its pay-television signals.

This approach is different from the technology used by SingTel's existing mio TV platform. The operator's pay-TV programmes are currently streamed over the Internet using its ADSL (asymmetric digital subscriber line) broadband infrastructure.

With this method, customers are still required to have a phone line and there are also bandwidth limitations which could inhibit the number of high-definition channels that can be streamed at any one time.

The existing ADSL technology is also unsuitable for businesses such as hotels, restaurants, pubs and coffeeshops looking to screen soccer matches over multiple television screens within their premises. This is an important consideration for pay-TV operators as commercial customers typically pay twice or more for their subscription packages compared to consumers.

While the future nationwide fibre-optic network could solve the problem, the project is still a work-in-progress and it will only be fully completed in December 2012, towards the tail end of SingTel's three-year EPL broadcast contract.

Coaxial cabling technology, on the other hand, has been used by StarHub and many telcos around the world to deliver their cable television and broadband services to consumers and businesses for some time. Coaxial cabling and ADSL lines are the two most prevalent copper-line networking technologies used by telcos today.

Coaxial cables are cheaper and faster to deploy compared to fibre-optic cabling while having a sufficient capacity to carry multiple channels of high-definition video and Internet content.

'We will use our existing copper (cables),' said Mr Lew.

SingTel currently owns the most extensive underground broadband infrastructure in Singapore, a complex mishmash of fibre-optic links and cheaper copper cables at the 'last mile' which connects to homes and businesses.

SingTel's coaxial cabling plan looks to be the final piece of jigsaw to fulfil its promise of wiring up all homes and businesses ahead of the 2010 EPL season. It means the telco will be banking on a combination of technologies, including ADSL, fibre-optics and coaxial cabling, to meet this ambitious deadline.

'The business community is where we are fundamentally strong,' said Mr Lew. Dedicated account teams will be set up to service commercial pay-TV customers but pricing will be determined on a case-by-case basis as their needs are different, he added.

StarHub had questioned SingTel's ability to pull off the feat of wiring up Singapore for EPL within 10 months but Mr Lew is bent on proving his arch-rival wrong. 'We have never said something and not delivered,' he stressed.

SingTel already held up its promise of not charging consumers more for EPL with the announcement of its price plans on Saturday.

Consumers will have to pay $23 a month to catch the 2010-2011 EPL season on mio TV without having to fork out extra for a basic pay-TV package or for set-top box rental.

As an added sweetener, SingTel will even throw in the Uefa Champion's League and Europa League matches for free. For an additional $2, customers will get additional channels from ESPN Star Sports, the company which owns the broadcast rights to a bonanza of other sporting events including the Formula One, the Australian Open, Wimbledon and the US Open Golf Championship.

StarHub customers currently pay around $52 for their football fix. This includes a $25.58 monthly subscription fee for the firm's basic tier, as well as the $26.75 it charges for the sports package.

Some market watchers have questioned SingTel's ability to recoup its hefty EPL investment since rival StarHub and even Hong Kong's PCCW failed to make money from screening the coveted soccer league.

But said Mr Lew: 'We don't just look at it (EPL) on a narrow basis - there's a huge impact on our overall consumer business. We know what we have to achieve to make it (EPL) value-accretive.'

 

Singtel Optus got a good deal for its bond, given current market conditions and 10 basis lower than its rating deserved (150 vs 160 over treasury).

SingTel sells long-term bonds, inside bank pricing

12 October 2009 6:56am

The 10-year debt market is not just the preserve of banks. Optus Finance Pty Ltd also raised ten-year funds during the week, issuing US$500 million of Euro medium-term notes at a margin of just 150 basis over US Treasuries.

This is 32 bps tighter than Commonwealth Bank was able to achieve on its 10-year deal, even though the bank is rated two notches higher by both Standard & Poor’s and Moody’s Investors Service than the telco.

Insto reported that the Optus bond was five times oversubscribed, so rarity value would appear to account for the tight pricing.
 
Suncorp Metway was also active in the Euromarket, issuing US$750 million of three-year, government-guaranteed, floating rate notes at Libor plus 23 bps. Suncorp has raised the equivalent of A$10.7 billion this year, through government guaranteed international bond issues. This is way in excess of its international bond issuance in any other year.

In the domestic market, Suncorp has issued A$3.75 billion of government-guaranteed bonds. Again, this is more than its issuance in any other year. And while it could be argued that Suncorp used to make good use of securitisation, which it has been unable to do to the same extent for the last year or so, these issuance volumes are also well ahead of previous securitisation issuance.

 

my guess is that the cost of the rights is not realised in one year but depreciated over 3 FY, so we wont see such a huge impact from their investment.

Bharti price went up a lot while singtel remain stagnant. we should see this increase for Bharti being reflected today's trading.

Friday, 9 October 2009While Friday started the trading day on the back of positive global cues, the Sensex ended the day lower on a sell-off across sectors. Top gainers were Bharti Airtel, ONGC, Reliance Communications, and Hindustan Unilever. Top losers included Tata Motors, Sterlite Industries,Reliance Infrastructure, and Grasim. While all sector indices ended Friday in the red, they e nded the week mixed. FMCG, Metal, Pharma, and Power ended the week in the green, while Telecom and IT led the losses among sector indices.

Whether mio TV will be profitable, at least it is a loss that singtel has no problem covering. sure to be a hefty price. starhub is the best party to know how much subscriber base there are in sg but true enough lowering the cost would attract more subscribers. time will tell.

Singtel should quickly catch up with the rally it missed last week and move higher.

 

they will never recover the cost of buying this right, this is always a no gain division of the tel business.

aircraft      ( Date: 10-Oct-2009 18:08) Posted: Doesn't sound good for Singtel shareholders, how long will they need to recover their millions of $ for the rights ?

 

The big picture is this - the expected huge gain in subscriber base. The meat is gone and left only the bones for Starhub - mobile is too competitive to earn super profit. In FY08 SCV revenue topped $400m = 19% of starhub total topline revenue- & it is amongst the most profitable business unit. Hence the 'expensive' bid for BPL/EPL may eventually be a small price to pay - to secure huge subscriber base for mio-TV. Any one additional subscriber is pure profit to Singtel as mio-TV is a fixed cost. Winner is Singtel!

 

Doesn't sound good for Singtel shareholders, how long will they need to recover their millions of $ for the rights ?

 

Starhub will suffer huge loss next yr 'cos pay-TV is highly profitable & with SCV subscribers switching to mio-TV -means huge mkt share n bottomline gain for Singtel. Expect Singtel share px to recover to >$3.20 very quickly.

Oct 10, 2009

SingTel cuts BPL price plan

SINGTEL is cutting the cost of watching Barclays Premier League (BPL) games by more than half. The telecommunications giant, which won the bid for the exclusive rights to the BPL for the next three seasons from 2010, unveiled its price plan on Saturday. The Barclays Premier League will cost $23 per month on mio TV, exclusive of GST. The price includes all 380 Premier League matches and one high-definition set-top box. As an added bonus, mio TV customers who sign a one-year plan to watch these matches will also enjoy the Uefa Champions League and Uefa Europa League at no additional cost till May 2011. Said SingTel's CEO Singapore, Mr Allen Lew: 'We have promised football fans that they will not be charged more than what they have been paying their cable operator. And we are delivering on our promise - in fact, watching the Barclays Premier League matches will cost them almost 60 per cent less.' More pricing and promotional information as well as sign-up details will be announced shortly.

 

I think it's going to break 3 soon.

 

Singtel close at 3.08 today with highest at 3.10

I understand that ppl do not want to believe since i do not noe how to type pretty words unlike others.

Anyway congrats to a few forumer who do believe me and vested. (They send thanks private msg to me this morning).

Singtel immediate resistance is 3.10/3.11. Good luck to all!!

 

lowchia      ( Date: 08-Oct-2009 15:23) Posted: I play TA and i can tell u 3.06 is a strong support. (I vested at 3.06). MACD signal a buy signal. Even if it managed to break, i doubt it can go below $3.  Mark my words.   Nowadays if u play FA then u can quit stock liao.....if stocks like capitaland and Genting can soar based on good news then u will noes market buy stock dun based on FA.

 

Singtel down on Bharti stock fall??? lol, Singtel continue to stay weak while the reason for its fall Bharti has risen.

 

some times i wish they did walk down the bloodpath together. I will be paying so much lesser. I will be most glad to be waiting at $1 picking up Singtel. =)

 

hmm...how come our own Telco in SG not cutting subscription har? or our IDA too powerless to do the necessary to bring down cost? hee.... :D

frosin      ( Date: 09-Oct-2009 11:54) Posted: Tariff wars loom with new mobile Cos Friday, October 09,2009 NEW DELHI: After cutting mobile telephony tariffs 50 per cent over the past five months, telecom operators are getting ready to slash rates another 25 per cent in the next two to three months as new competitors crowd into the market. About five new operators are ready to start operations by the end of this year, adding to the over eight incumbents slugging it out to grab a share in a mobile market that is expected to grow to 750 million subscribers by 2012 against over 450 million at present. Last month, Tata Teleservices announced a one paisa per second offer for its newly launched GSM services followed by a 50 paisa per minute offer by Reliance Communications (for both its older CDMA service as well GSM services), making it the first incumbent operator to join the price war. Today, new operator Sistema Shyam Teleservices, which launched under the MTS brandname in Delhi, has prepared a business plan predicated on more cuts. As part of the Delhi launch plan, MTS is offering 2 seconds of talk time for 1 paisa or effectively 30 paisa a minute for outgoing calls. However, in addition one has to pay Re 1 a day for this offer. “We will see bloodbath in telecom tariffs. They have already fallen by half from an average of 70 paisa a minute to around 30 paisa a minute for local calls. We expect them to fall by another 20 per cent ," said CEO Vsevold Rozanov. Sistema Shyam, in which Russia's Sistema owns a majority stake with the Shyam group of Delhi, has launched services in seven circles since last year. MTS is also working out a plan to take on RCom’s roaming offer by reducing its existing Re 1 per minute, though no details were available. A senior executive of Datacom, the joint venture between Videocon group and Mahendra Nahata, that is also expected to launch soon, sees a similar trend. “With many of the new players about to start operations we expect tariffs to fall another 20 to 25 per cent,” he said. Analysts like Mahesh Uppal predict that prices might fall by another 10 per cent or so and then stabilise. Few incumbents, however, are expected to follow the newcomers' example, saying such cuts were inevitable but also unsustainable. “Customers have become price agnostic as they are so low already. What matters are the brand, coverage and quality. We expect the new players will make losses,” says a senior executive of Bharti Airtel, India's largest telecom company. Analysts, however, say incumbents are in a better position to fight the tariff battle. As Uppal points out, “Once networks have been built, it is a sunk cost, so new operators will drop tariffs to bring in customers. Incumbents, however, have a lot of cushion with margins of 40 per cent against a global average of 20 per cent.” Although low tariffs can help build market share, they do not even cover variable costs and cannot be sustained in the medium and long term. Says Vivek Gupta, partner, mergers and acquisition practice in BMR Advisors: “If companies like Bharti or Vodafone halve their tariffs their entire margins would get wiped out. But they don’t have to do so because they have the stable, high-usage customers who do not shift because of only tariff and there are ways to retain them.” Still, a leading mobile player concedes that they cannot hold on to tariff forever. “We might not react now and wait for the Telenors and the Swan Telecoms, with deep pockets, to come in to the market, and then, obviously, we have to match their tariffs.”

 

Bharti up on news to Rs 348. Up Rs 13.35 from yesterday close, Singtel gain 9.6 cents per share in fair value for its holding on Bharti this morning.

Bharti Airtel is trading higher by 3% on the BSE on reports that it may bid for Luxembourg-based telecom firm Millicom's operations in Sri Lanka. The stock had opened at Rs 336, and has touched a high of Rs 349 and a low of Rs 336 thus far.

 

frosin      ( Date: 08-Oct-2009 21:23) Posted: Moving from $3.06 down to $3.04, Singtel lost another S$318.536m today adding to a total of S$3,822.432m from before the fall. Bharti last trade is at Rs 334.65. From its previous of Rs 435.5, the share has lost about 23.2% or Rs 383 billion (S$11.5b). At 30%, Singtel lost S$3.46b. Comparing S$3.82b losses of Singtel market capitalization to S$3.46b losses in terms of holding Bharti shares mark to market, it can be said that the losses is efficiently reflected into Singtel's share prices at S$3.04. It is possible that Singtel is under valued by S$0.36b or S$0.02. Bharti short term outlook is as illustrated by the indian market analysts. It is generally expected that the stock stay afloat above Rs 350 and target of Rs 356.Latest is by Mohindar in an interview on CNBC mentioned that despite the shorts are limited, there will be a long bottom before the share picks up strength to move up. Oct 08, 2009    Bharti Airtel can slip 4-5%: Mohindar Oct 08, 2009    Hold Bharti Airtel, target of Rs 390: Sharekhan Oct 08, 2009    Bharti Airtel has support at Rs 330-350: Gujral Oct 07, 2009    Reduce Bharti Airtel, target of Rs 356: IIFL Oct 07, 2009    Hold Bharti Airtel: Gujral Oct 07, 2009    Buy Bharti Airtel at Rs 350-360: Harihar Oct 06, 2009    Bharti Airtel has support at 320-350: Gujral Oct 06, 2009    Bharti Airtel has support at Rs 350-370: H Kapadia Oct 06, 2009    Buy Bharti Airtel at Rs 365-370: Bhamre Oct 06, 2009    Bharti Airtel has support at Rs 363-365: Anu Jain Oct 05, 2009    Buy Bharti Airtel, says Dhawan Oct 05, 2009    Don't buy Bharti Airtel: Baliga Oct 05, 2009    Bharti Airtel has target of Rs 485: M Thacker Oct 05, 2009    Buy Bharti Airtel on dips: RR Financial Consultants Given the immense downside already, I think this price of $3.04 is fairly reasonable. In fact, it might be slightly ahead of the fall. Bharti vs Singtel market capitalisation is S$38,271,828,230.32 vs S$48,417,472,000.00 as of market close. Breaking into parts, Singtel currently have 30% or S$11,481,548,469.10 in Bharti. The remaining of Singtel market cap worth S$36,935,923,530.90, or $2.32 per share, is elsewhere. Each time Bharti fall(rise) by Rs 1.39, Singtel lose(gain) an amount equivalent to 1 cent per share. 5% downside is Rs 16.73 or 12 cents equivalent. Rs 15.35 minimal upside is 11 cents upside. This will create a trading range between S$2.92 to S$3.15 purely in response to Bharti news. However, Singtel has a large portion of other businesses that is unaffected and still doing well or improving. Earning season is coming again. Singtel's strong earning growth remains intact and is likely to announce some healthy results despite the net asset valuation expected to fall if the mark to market was done for Bharti. Singtel's recent initiatives and iPhone sales are likely to improve operating income. Moreover, the EPL rights are still "valuable". Bharti, too, is expected to grow rapidly and report strong results. It should still be noted that the recent market movement were on the basis of speculation of a highly likely government regulation for more competition. This would affect future earnings of telecoms. However, Bharti is diversifying from India already but not as much as desirable to not be affected by this news. I believe next month's earning will send Singtel back to $3.30 and above. *one other point is that past Bharti surges in stock prices did not affect Singtel by as much or as efficiently. It might be true that Singtel is undervalued. frosin      ( Date: 08-Oct-2009 14:33) Posted: Bullish people should consider that Singtel Market Cap at $3.06 is S$48,736.008m a.k.a S$48 billion. It has drop from its recent peak of $3.28 to $3.06 which means the market cap fell from S$52,239.904m to S$48,736.008m translating to S$3,503.896m losses. This is more than the losses realized in India. Even if considering the S$400 million invested in EPL, the share price is fair. Singtel would be neutral. Bearish people should consider that Singtel Market Cap at $3.06 is S$48,736.008m a.k.a S$48 billion. It has drop from its trading normal of $3.20 to $3.06 which means the market cap fell from S$50,965.76m to S$48,736.008m translating to S$2,229.752m losses. This is less than the losses realized in India. Also, if considering the S$400 million invested in EPL, the share price is too high. Singtel would be underweight.

 

Tariff wars loom with new mobile Cos

Friday, October 09,2009

NEW DELHI: After cutting mobile telephony tariffs 50 per cent over the past five months, telecom operators are getting ready to slash rates another 25 per cent in the next two to three months as new competitors crowd into the market. About five new operators are ready to start operations by the end of this year, adding to the over eight incumbents slugging it out to grab a share in a mobile market that is expected to grow to 750 million subscribers by 2012 against over 450 million at present. Last month, Tata Teleservices announced a one paisa per second offer for its newly launched GSM services followed by a 50 paisa per minute offer by Reliance Communications (for both its older CDMA service as well GSM services), making it the first incumbent operator to join the price war. Today, new operator Sistema Shyam Teleservices, which launched under the MTS brandname in Delhi, has prepared a business plan predicated on more cuts. As part of the Delhi launch plan, MTS is offering 2 seconds of talk time for 1 paisa or effectively 30 paisa a minute for outgoing calls. However, in addition one has to pay Re 1 a day for this offer. “We will see bloodbath in telecom tariffs. They have already fallen by half from an average of 70 paisa a minute to around 30 paisa a minute for local calls. We expect them to fall by another 20 per cent ," said CEO Vsevold Rozanov. Sistema Shyam, in which Russia's Sistema owns a majority stake with the Shyam group of Delhi, has launched services in seven circles since last year. MTS is also working out a plan to take on RCom’s roaming offer by reducing its existing Re 1 per minute, though no details were available. A senior executive of Datacom, the joint venture between Videocon group and Mahendra Nahata, that is also expected to launch soon, sees a similar trend. “With many of the new players about to start operations we expect tariffs to fall another 20 to 25 per cent,” he said. Analysts like Mahesh Uppal predict that prices might fall by another 10 per cent or so and then stabilise. Few incumbents, however, are expected to follow the newcomers' example, saying such cuts were inevitable but also unsustainable. “Customers have become price agnostic as they are so low already. What matters are the brand, coverage and quality. We expect the new players will make losses,” says a senior executive of Bharti Airtel, India's largest telecom company. Analysts, however, say incumbents are in a better position to fight the tariff battle. As Uppal points out, “Once networks have been built, it is a sunk cost, so new operators will drop tariffs to bring in customers. Incumbents, however, have a lot of cushion with margins of 40 per cent against a global average of 20 per cent.” Although low tariffs can help build market share, they do not even cover variable costs and cannot be sustained in the medium and long term. Says Vivek Gupta, partner, mergers and acquisition practice in BMR Advisors: “If companies like Bharti or Vodafone halve their tariffs their entire margins would get wiped out. But they don’t have to do so because they have the stable, high-usage customers who do not shift because of only tariff and there are ways to retain them.” Still, a leading mobile player concedes that they cannot hold on to tariff forever. “We might not react now and wait for the Telenors and the Swan Telecoms, with deep pockets, to come in to the market, and then, obviously, we have to match their tariffs.”

 

SINGAPORE - Citigroup downgraded its recommendation on Singapore Telecommunications to 'hold' from 'buy'

Any one can post the full story from Citi?

 

SINGAPORE, Oct 9 (Reuters) - Singapore Telecommunications (SingTel) (STEL.SI) said on Friday its wholly-owned Optus unit priced its $500 million 10-year notes at 4.625 percent a year.

SingTel said the dollar denominated notes, which carry a semi-annual coupon, will mature on Oct. 15 2019, and were five times oversubscribed.

Really all subscriptions like that would be oversubscribed. The issue is in the interest rate standing at 4.625% of 500m for 10 years. Organisation are careful in the hints they drop when meeting bond investors like below. "not a roadshow to sell bonds" Bond may not be the best thing to happen in this economic situation. Lets wait for optus to tell more on the use of the proceeds.


 

SINGAPORE, Oct 9 (Reuters) - Singapore state investor Temasek Holdings [TEM.UL] will meet bond investors on Oct 13-14 to update them on its recent performance and outlook, sources said on Friday.

Bank of America's Merrill Lynch (BAC.N), Morgan Stanley (MS.N) and Deutsche Bank (DBKGn.DE) are arranging these meetings, one of the sources told Reuters.

"It's an investor update," said the source, adding it was not a roadshow to sell bonds. Temasek manages a portfolio of about $120 billion.

Bankers have said these "non-deal" meetings quite often result in bond issues for companies. A Temasek spokesman said the company has a global medium term note programme and meets institutional investors on a regular basis. (Reporting by Saeed Azhar; Editing by Anshuman Daga)

 

SingTel says Optus completes US$500m note issue

 

Written by Bloomberg

Friday, 09 October 2009 09:05

Singapore Telecommunications said its SingTel Optus Pty unit completed a US$500 million ($695 million) bond issue. The offering of the notes, which mature on Oct 15, 2019, was more than five times over-subscribed, the company said in a statement to the Singapore stock exchange.