Singtel confirmed on July 30, 2026, that it is in talks with multiple parties about potentially selling a minority stake in its Australian telecommunications unit Optus [1, 2, 3, 4, 5, 6, 7]. The discussions come more than 25 years after Singtel acquired full ownership of Optus in 2001 [1, 2, 3, 4, 5, 6, 7]. However, Singtel cautioned there is no guarantee the talks will result in a deal [1, 2, 4, 5, 6, 7].
Optus is Australia's second-largest telecom provider and generated about A$8.35 billion (US$5.8 billion) in operating revenue for the financial year ended March 2026 [1]. Singtel is exploring bringing in an Australian minority partner to support Optus’ growth as a major local operator [1, 2, 3, 4, 5, 6, 7]. Singtel Group CEO Yuen Kuan Moon said, "The main objective is to strengthen Optus’ long-term strategic resilience, and this requires a partner that shares our commitment to maintaining Optus as a strong, credible alternative operator providing a reliable and trusted critical service to Australia" [6]. He added that "Operating with a minority partner is not a new operating model for Singtel," citing experience with minority partnerships in Indonesia, Thailand, the Philippines, and India [7].
Since May 2026, Singtel has publicly indicated openness to introducing a local Australian partner for Optus [1, 2, 3, 4, 5, 6, 7]. Australian infrastructure investor Morrison currently holds a seven-week exclusive negotiation period to acquire more than a 30% stake in Optus, valued at over A$2 billion (approximately US$1.4 billion) [3, 6, 7]. If successful, this transaction would end Singtel’s quarter-century full ownership of Optus [3, 4, 5, 6, 7].
Optus has faced significant challenges recently, including a massive 2022 cyberattack and a major nationwide network outage in September 2025 that disrupted emergency services and triggered regulatory scrutiny [1, 2, 4, 5, 6, 7]. The Australian Communications and Media Authority (ACMA) has launched Federal Court proceedings against Optus Mobile over the 2025 outage, alleging 1,005 breaches of legal obligations and seeking penalties up to A$250,000 per contravention [1, 2]. Optus acknowledged the proceedings and said it is continuing to invest in network resilience and system improvements [2]. The company also reported a full-year loss after incurring hundreds of millions in fines and remediation costs related to network and security failures [4, 5].
Analysts expect a minority stake sale could improve Optus’ capital return and raise additional funds, with limited negative impact on Singtel’s profitability due to potential interest cost savings [3]. Singtel said it will update the market if talks reach material progress [3, 4, 5].
