Commenting on its figures for the year to March (see our financial news section), Singapore Telecommunications Ltd says it plans to reinvest the $1,067m it will get from the government for the early loss of its basic telecommmuications monopoly – which is now to end in 2000 rather than 2007. The compensation will be reinvested by the group in overseas ventures, infrastructure and new telecommunications services to prepare itself for the forthcoming competitive environment, it said. The company says its stake in the Belgian telephone monopoly Belgacom NV will have a positive impact on its 1996-97 earnings. Its effective 12.15% stake in Belgacom cost it $656m. The company also said at the announcement meeting that it would view seriously any offers to play a role in Hong Kong’s telecommunications market – but that it was not, as had been rumored, the buyer of the 2% of Hong Kong Telecommunications Ltd sold by CITIC Pacific this week. Hong Kong as an economy will be very important in the Asia Pacific and if there is opportunity for us to participate in the telecommunications market in Hong Kong or South China, it is something we will look seriously at, the company said. Up to the end of March, SingTel had invested some $1,565m in 53 joint ventures and investments in 21 countries, but it is now rationalizing its overseas portfolio, and sold some cable television interests in the UK.
