Shares fell as much as 3.7% after Singtel disclosed Federal Court proceedings against Optus and reaffirmed discussions with interested parties on a minority stake sale.
Singtel shares slid as much as 3.7% in early Friday trading after the company disclosed two developments involving Australian unit Optus: Federal Court proceedings launched by Australia's communications regulator over emergency-call failures and ongoing talks with interested parties on a minority stake sale. The stock fell S$0.17 to S$4.41 shortly after the July 31 open, after closing Thursday at S$4.58. The Australian Communications and Media Authority alleges Optus breached the Telecommunications (Emergency Call Service) Determination 2019 on 1,005 occasions during a single-day outage on Sep. 18, 2025, saying the operator failed to provide access to the emergency call service and did not ensure calls were carried to the correct termination point. The regulator is seeking penalties of up to A$250,000 per contravention, implying a theoretical maximum of more than A$251 million if the court applied the highest fine to each breach. Optus said it continues to invest in network resilience and strengthen its systems and processes. The case adds to pressure on Australia's second-largest telecommunications provider after two emergency-call service outages that affected thousands of users, were linked to four deaths and led to the departure of two senior executives, including the finance chief. At the same time, Singtel confirmed broader discussions about selling part of Optus but said there is no certainty the talks will lead to a deal. The Australian Financial Review reported Morrison is discussing the purchase of more than 30% of Optus in a deal valued at more than A$2 billion, with a seven-week exclusivity period in place. Singtel had said in May it was open to bringing in an Australian minority partner, and Reuters reported in 2024 that Brookfield Asset Management had held advanced talks on a significant stake sale, though Singtel denied then that a deal was imminent.