Singapore’s Singtel has sold 2.8 percent of its stake in Gulf Development, Thailand’s largest energy company, for approximately S$1 billion ($775 million), generating cumulative equity gains of approximately $109 million.

In a statement on Tuesday, the Singaporean telecommunications giant said the sales is part of its ongoing asset recycling program. After the transaction, Singtel will hold a 4.95 percent stake in Gulf Development, valued at an estimated $1.4 billion.

The transaction, executed via a private placement to institutional investors, brings Singtel’s cumulative capital unlocked under its Singtel28 plan to S$6.8 billion since 2024, toward its S$9 billion mid-term target.

Singtel received its original 7.7 percent stake in Gulf Development in 2025 following the amalgamation of Intouch Holdings and its largest shareholder Gulf, which simplified Singtel’s shareholding structure in its Thai associate AIS and created the new entity Gulf Development.

Arthur Lang, Singtel’s Group CFO, said the divestment reflects Singtel’s disciplined approach to capital management, with Gulf Development’s strong share price performance since listing providing an attractive opportunity to crystallize value and reallocate capital toward growth and shareholder returns. Thailand remains a key market for Singtel, with continued partnership through AIS and the group’s data center venture GSA, Lang added.

In FY2026, Singtel proposed a value realization dividend of 4 cents on top of a core dividend of 10.4 cents, representing a payout ratio of 80 percent of underlying net profit and resulting in the highest annual ordinary dividend of 14.3 cents, marking five consecutive years of dividend growth.

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