Singtel sells $773 million Thai energy stake as it ramps up AI and data center investments

A logo of Singapore Telecommunications (Singtel) is seen outside its building in Singapore on February 12, 2016. Roslan Rahman | AFP | Getty Images Southeast Asia's largest telecom operator, Singtel, has sold 2.8% of its stake in Thailand's largest energy firm, Gulf Development, for about S$1 billion ($772.9 million), as it seeks to raise cash for new investments. The stake was sold directly to institutional investors and is expected to generate an equity gain of about 140 million Singapore dollars, Singtel said in a statement on Tuesday. Following the transaction, Singtel will retain a 4.95% stake in Gulf Development, valued at about 1.8 billion Singapore dollars. "This divestment underscores Singtel's concerted efforts to optimize our portfolio as we continue our disciplined approach to capital management," said Arthur Lang, Singtel's group chief financial officer. Lang said that Singtel's partnership with Gulf Development remains strong and that Thailand continues to be an important market for the company. The divestment comes as Singtel increases investments in growth areas. The company expects capital expenditure to reach around 3 billion Singapore dollars in its current fiscal year, up from 2.5 billion Singapore dollars a year earlier. …