hi CityFarmer and Lonewolf, interestng discussion. There seem to be a price point that people will bite. My take is that its either a good buffett like netflix or some premium content.
i would pay 2-3 bucks to watch a single permier league or la liga match like what lone wolf say. for these to work they need to be content that is sticky.
i always thought why would people go for DirecTV under buffett, then i realise they hold exclusive rights to NFL sunday. Just like our BPL.
it is why Netflix sees their future as a good content provider independant of platform. they are producing their own shows.
this will really make the broad band a dumb pipe. think this ties close to APTT as well
Consumers prefer free choice, rather tight-up by "buffet-type" offers. Apple's iTune success is a good example. Consumers were tight-up with buffet-style of 10-20 piece of songs per album, till Apple offer per-piece with $1-2 each. None i had talked to dislikes the idea.
Similar observation on other services i.e. gym club membership, shorter period or even per class are offering now.
SingTel and Starhub saw the trend, and offering "similar" services, on top of their "buffet-type" offers. SingTel's mio-TV play is an app to offer OTT service, and Starhub's TV Anywhere offers the same. Both need an existing subscription IIRC, that to say, the services are offered on top of a buffet package, sound funny right?
One more uncertainty unfolded for SingTel. My previous valuation was base on P/S of 3.5, with sales of A$320 mil, the previous valuation is approx A$1.1 billion.
If SingTel's able to sell it at A$2 billion, the TP will move up...
SingTel said to start Optus satellite sale seeking $2.4b
Singapore Telecommunications, Southeast Asia’s biggest phone company, started the sale of its Australian satellite unit and is seeking more than A$2 billion ($2.4 billion), three people with knowledge of the matter said.
SingTel approached potential buyers with information on the Optus Satellite unit today, two of the people said, asking not to be identified as the information is private. Bain Capital LLC, Carlyle Group LP and Blackstone Group LP are among private equity firms evaluating possible bids for Optus Satellite, three people familiar with the deliberations said
http://www.theedgesingapore.com/the-dail...g-24b.html
Private equity firms KKR and Carlyle will bid for Optus, says Reuters
From: Dow Jones May 29, 2013 6:49AM
Increase Text Size
Decrease Text Size
Print
KKR and Carlyle Group are among groups preparing bids for Singapore Telecommunications' Australian arm, Optus Satellite, Reuters reported overnight, citing people familiar with the matter.
SingTel is valuing Optus at more than $2 billion, these people said, adding that a bid is also expected from France's Eutelsat Communications.
Reuters said that SingTel sent out financial information to interested bidders on Monday, with the first deadline for bids set for June 14.
This month SingTel reported that operating revenue Optus was down 5.4 per cent to $2.17 billion, reducing net profit by 6.9 per cent to $249 million.
(28-05-2013, 05:14 PM)CityFarmer Wrote: [ -> ]One more uncertainty unfolded for SingTel. My previous valuation was base on P/S of 3.5, with sales of A$320 mil, the previous valuation is approx A$1.1 billion.
If SingTel's able to sell it at A$2 billion, the TP will move up...
SingTel said to start Optus satellite sale seeking $2.4b
Singapore Telecommunications, Southeast Asia’s biggest phone company, started the sale of its Australian satellite unit and is seeking more than A$2 billion ($2.4 billion), three people with knowledge of the matter said.
SingTel approached potential buyers with information on the Optus Satellite unit today, two of the people said, asking not to be identified as the information is private. Bain Capital LLC, Carlyle Group LP and Blackstone Group LP are among private equity firms evaluating possible bids for Optus Satellite, three people familiar with the deliberations said
http://www.theedgesingapore.com/the-dail...g-24b.html
Hi CityFarmer,
If Singtel manage to sell Optus at 2 Bil, is current price of Singtel under-value? (May i borrow your calculation or view?)
Thanks.
(29-05-2013, 07:27 AM)Temperament Wrote: [ -> ] (28-05-2013, 05:14 PM)CityFarmer Wrote: [ -> ]One more uncertainty unfolded for SingTel. My previous valuation was base on P/S of 3.5, with sales of A$320 mil, the previous valuation is approx A$1.1 billion.
If SingTel's able to sell it at A$2 billion, the TP will move up...
SingTel said to start Optus satellite sale seeking $2.4b
Singapore Telecommunications, Southeast Asia’s biggest phone company, started the sale of its Australian satellite unit and is seeking more than A$2 billion ($2.4 billion), three people with knowledge of the matter said.
SingTel approached potential buyers with information on the Optus Satellite unit today, two of the people said, asking not to be identified as the information is private. Bain Capital LLC, Carlyle Group LP and Blackstone Group LP are among private equity firms evaluating possible bids for Optus Satellite, three people familiar with the deliberations said
http://www.theedgesingapore.com/the-dail...g-24b.html
Hi CityFarmer,
If Singtel manage to sell Optus at 2 Bil, is current price of Singtel under-value? (May i borrow your calculation or view?)
Thanks.
For sharing purpose, update into the model with the A$2 bil or S$2.4 bil, the model tells me the following
$S4.4 - $4.8
Uncle Temperament, as rule of thumb, never listen only to other valuation including mine. I might close the position upon next card unfolded without warning.
There are two catalysts for Singtel now:
1. The successful sales of Optus Satellite and a possible special dividend. Is that why Singtel raises its dividends payout ratio?
2. The successful award of license to operate in Myanmar.
I think (1) is more or less a done deal, but Singtel may not give a special dividend. (2) is still an unknown, and will be a bigger catalysts if it happens.
(29-05-2013, 10:55 AM)Ben Wrote: [ -> ]There are two catalysts for Singtel now:
1. The successful sales of Optus Satellite and a possible special dividend. Is that why Singtel raises its dividends payout ratio?
2. The successful award of license to operate in Myanmar.
I think (1) is more or less a done deal, but Singtel may not give a special dividend. (2) is still an unknown, and will be a bigger catalysts if it happens.
To add one more catalyst
3. The divestment of NetLink Trust, not on the possibility (it is a sure event), but the way SingTel divest it.
(29-05-2013, 10:34 AM)CityFarmer Wrote: [ -> ] (29-05-2013, 07:27 AM)Temperament Wrote: [ -> ] (28-05-2013, 05:14 PM)CityFarmer Wrote: [ -> ]One more uncertainty unfolded for SingTel. My previous valuation was base on P/S of 3.5, with sales of A$320 mil, the previous valuation is approx A$1.1 billion.
If SingTel's able to sell it at A$2 billion, the TP will move up...
SingTel said to start Optus satellite sale seeking $2.4b
Singapore Telecommunications, Southeast Asia’s biggest phone company, started the sale of its Australian satellite unit and is seeking more than A$2 billion ($2.4 billion), three people with knowledge of the matter said.
SingTel approached potential buyers with information on the Optus Satellite unit today, two of the people said, asking not to be identified as the information is private. Bain Capital LLC, Carlyle Group LP and Blackstone Group LP are among private equity firms evaluating possible bids for Optus Satellite, three people familiar with the deliberations said
http://www.theedgesingapore.com/the-dail...g-24b.html
Hi CityFarmer,
If Singtel manage to sell Optus at 2 Bil, is current price of Singtel under-value? (May i borrow your calculation or view?)
Thanks.
For sharing purpose, update into the model with the A$2 bil or S$2.4 bil, the model tells me the following
$S4.4 - $4.8
Uncle Temperament, as rule of thumb, never listen only to other valuation including mine. I might close the position upon next card unfolded without warning.
Ha! Ha!
No worry!
One of the main rule of thumb of living for me is:-
You can & should listen to everyone. But whatever you decide and do afterwards, you can't go to the Judge and says, "He make me do it." The judge will agree only if he found you have no brains. But then the judge will reconsider if you have no brains, how come you know how to go to him?
Ha! Ha!
Relax! Just for laugh.
But seriously i always tell my son to adopt this main rule of thumb for living. If you have a brain, you have to take responsibility for all your doings. Never Blame Others for your actions.
Just found out that Toggle's OTT offering $5.35 plan per channel per month. It sounds good for those prefer a la carte, over buffet on pay-TV service
The offering is limited at the moment, only Celestial Movies, CinemaWorld HD, KIX and Thrill and Mediacorp, mainly movie channels.
It is a real threat SingTel and Starhub should not ignore...