Singtel will divest its US digital media and advertising subsidiary Amobee to London- and NASDAQ-traded advertising technology firm Tremor International for an enterprise valuation of US$239 million.
The net proceeds after deducting transaction costs and adjustments such as debt and working capital is estimated to be US$197 million at closing.
The divestment is in line with Singtel’s strategic reset to sharpen its business focus and recycle assets and capital into growth areas with higher returns. On 27 May 2022, Singtel announced that Amobee, a non-core business, was classified as a subsidiary held for sale in March this year.
Yuen Kuan Moon, Singtel Group Chief Executive Officer, said, “This divestment reflects our resolve in executing to our strategic reset. We are actively reshaping our portfolio to ensure optimal allocation of resources towards new growth drivers, as well as improve shareholder value.”
Completion of the Amobee divestment is expected by September 2022 and is subject to the fulfilment of certain conditions under the Sale and Purchase Agreement, including the receipt of relevant regulatory approvals.
Following the Amobee divestment, Singtel will cease to hold any equity interest in the Amobee business.
Singtel is Asia’s leading communications technology group, offering businesses an array of solutions including smart cities, workforce mobility, data hosting, cloud, network infrastructure, analytics and cybersecurity.
Headquartered in Singapore, Singtel has 140 years of operating experience. We played a pivotal role in the country’s development as a major communications hub. Its network infrastructure spans 428 points of presence in 362 cities.
Singtel serves its customers around the globe from 74 offices in 28 territories, including Hong Kong, Japan, China, the United States and the United Kingdom. Together with its associates and subsidiaries, the Singtel Group serves over 675 million mobile customers around the world.