Singapore Telecommunications plans to pay S$4 billion to shareholders

Singapore Telecommunications (SingTel) has said it will pay S$4 billion ($2.5 billion) to shareholders as it reported a 27 per cent rise in its full-year (2005-06) net profit. The S$4 billion payout includes S$1.7 billion in dividends and S$2.3 billion in capital reduction. According to the company, the increase in net profit to S$4.2 billion for the fiscal year ended March 2006 was due to strong growth in Asia’s regional mobile phone sector. The company has invested S$17 billion in Australia, Thailand, the Philippines, Indonesia and South Asia. SingTel also plans to increase its stake in existing mobile phone operators and expand further in South Asia to promote growth.