Simba's parent company terminates deal to acquire M1
Simba continues to cooperate with the Infocomm Media Development Authority's investigation into whether it had breached the Telecommunications Act, Tuas said.
A Simba shop at Canberra Plaza in Singapore on Aug 18, 2025. (Photo: CNA/Ooi Boon Keong)
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SINGAPORE: Simba's owner, Australia's Tuas, announced on Friday (May 22) that the deal to acquire M1 has been terminated.
In a statement posted on the Australian Securities Exchange on Friday morning, Tuas said that it and Keppel - M1's parent company - would be released and discharged from their respective obligations if certain conditions under the terms of the sales and purchase agreement were not fulfilled or waived before the long stop date.
The long stop date was previously extended to May 21.
Tuas also said that Simba continues to cooperate with the Infocomm Media Development Authority's (IMDA) investigation into whether it had been using radio frequency bands that were not assigned to it to provide mobile services.
IMDA had said that this would constitute a breach of the Telecommunications Act and the conditions of Simba’s Facilities-Based Operations Licence.
Tuas will keep shareholders updated on that investigation, it said.
Shares of the Australian firm lost nearly 10 per cent to A$2.08 (US$1.49) in early trading in Sydney. Its share price had crashed more than 60 per cent on Monday following IMDA's statement.
Under the Telecommunications Act, IMDA can impose a financial penalty of S$1 million (US$780,700) or up to 10 per cent of the licensee’s annual turnover, whichever is higher, if there are breaches.
"In the meantime, Simba continues to operate its business in the Singapore telecommunications market," Tuas said.
Keppel said on Monday that it would allow the sale and purchase agreement with Simba to lapse.
It said on Friday that the deal's termination was not expected to have any "immediate material financial impact" on it.
Keppel will continue to assess any material financial impact as part of its regular financial reporting, it added.
The company's share price was up 5.18 per cent in early trade in Singapore on Friday.
Yuen Kuan Moon, group CEO of Singtel, Singapore's largest telco, said on Thursday that the company was seeking clarification from regulators on whether it can participate in any further moves to consolidate Singapore's telecommunications market.
“If we are able to participate in the consolidation, we will definitely evaluate where are the opportunities and how we would help lift the industry altogether in Singapore,” he said.
