Singtel shares jump as company picks insider as CEO to tackle sector slump

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Shares in Singapore Telecommunications jumped by the most in four months after Southeast Asia's biggest telecoms firm appointed an insider as its new group CEO during a weak outlook for the industry.

SINGAPORE - Shares in Singapore Telecommunications jumped by the most in four months after Southeast Asia’s biggest telecoms firm appointed an insider as its new group CEO during a weak outlook for the industry.

Singtel said on Thursday its board chose Yuen Kuan Moon, the CEO of its Singapore consumer business, to replace Chua Sock Koong, 63, who will retire after 13 years at the helm.“The street had been previously concerned with the prior earnings pressure and dividend uncertainties, leading to its share price de-rating,” the analysts said in a note and kept a buy rating on Singtel.

Yuen, 53, who joined the firm in 1993 and became its group chief digital officer in 2018, will take charge in January at the group, which has more than 700 million mobile subscribers in 21 countries. Chairman Lee Theng Kiat told a virtual news conference that Yuen was chosen after a global search that considered internal and external candidates after Chua last year flagged her desire to retire.

 

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