Singapore Corporate News - 18 Jul 2007

SingTel signs deal with Vietnam's SCIC

SINGTEL said yesterday it has signed a cooperation agreement with Vietnam's State Capital Investment Corporation (SCIC).

Areas of cooperation under the pact include the exchange of experience on corporate governance and equitisation and developments in investment laws and the telecommunications industry.

SingTel has said it is keen on investing in Vietnam once regulations ease there, as the company looks overseas to counter slowing growth in Singapore and Australia.

'Vietnam is a market that has many similarities with the other South-east Asian markets that SingTel has invested in,' said Lim Chuan Poh, head of SingTel's international businesses. 'Our experience in those markets will enable us to bring much value to the local telecom sector.'

To explore Vietnam's telecom sector, SingTel has engaged organisations such as SCIC, the Ministry of Posts and Telematics and the local operators, Mr Lim said.

For its part, SCIC hopes the partnership with SingTel will help it grow and develop the broader telecom sector in Vietnam. 'The MOU with SingTel is our first MOU with a telecommunications operator,' said SCIC chairwoman Le Thi Bang Tam. 'SingTel, with its strong telecom expertise and extensive experience across the region, is a good partner to share useful industry and economic insights.'

SingTel shares closed four cents down at $3.48 yesterday.