Keppel Announces USD 1.1bn Sale of M1’s Telco Business to Simba Telecom, Reshaping Singapore’s Mobile Market
Singaporean diversified company Keppel Ltd announced a landmark agreement to divest the telco operations of M1 Ltd to Singapore-based Simba Telecom for SGD 1.43bn (USD 1.1bn) in cash. The transaction marks a significant strategic move as Keppel continues its shift toward an asset-light model and greater focus on digital infrastructure such as data centers, subsea cables, and cloud connectivity.
The sale involves the core mobile and wireless services business of M1, which Keppel owns through its effective 83.9% interest via Keppel Konnect Pte Ltd and its joint venture Konnectivity Pte Ltd. Konnectivity is held 80% by Keppel and 20% by Cuscaden Peak Investments, the successor to Singapore Press Holdings (SPH), which has pivoted to property and digital assets following its media spin-off.
M1’s high-growth ICT business - which offers enterprise solutions in cybersecurity, IoT, and high-speed connectivity - will remain under Keppel’s control, aligning with the group’s long-term strategy to become a sustainability-focused global asset manager.
Founded in 1992, M1 Ltd is Singapore’s first digital network operator and a pioneer in 4G and 5G standalone deployment. With over two million customers and revenues of SGD 918.3mn (USD 676mn) in 2024, M1 has evolved into a full-service provider of mobile, broadband, and enterprise connectivity solutions. By exiting the traditional mobile services segment, Keppel is doubling down on higher-margin digital infrastructure assets amid rising investor interest in the sector.
The buyer, Simba Telecom, is Singapore’s fourth fully licensed mobile network operator and a wholly owned subsidiary of ASX-listed Tuas Ltd. Founded in 2016, Simba is known for low-cost mobile plans with consumer-friendly features such as free data roaming and unlimited calls. The acquisition of M1 gives Simba instant scale and infrastructure, positioning it as a more formidable competitor in the Singapore telecom market and supporting deeper investments in 5G capabilities.
Pending approval from Singapore’s Infocomm Media Development Authority, the deal could significantly reshape the local telecom landscape, consolidating market players and intensifying competition. It also reflects broader trends in Southeast Asia, where telcos are restructuring portfolios in response to 5G investment demands, legacy system costs, and competition from global tech firms.
For Keppel the transaction not only helps reduce debt but also unlocks capital to reinvest in its core digital infrastructure ambitions. The sale echoes a wider ASEAN M&A trend: telecom players carving out legacy businesses while betting on scalable digital assets to drive the next wave of connectivity across the region.
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