Singapore's MyRepublic enlists Goldman and DBS to raise $180 million

Singapore's MyRepublic enlists Goldman and DBS to raise $180 million

Singapore’s broadband operator MyRepublic has enlisted Goldman Sachs and DBS Group to help raise approximately $180 million (S$250 million) in its bid to be the country’s fourth mobile operator.

Backed by French billionaire Xavier Niel and Indonesia’s Sinar Mas Group, the operator has announced plans to offer an unlimited mobile data plan of $58 (S$80) a month and a 2GB plan at $5.8 (S$8) should it be awarded the fourth licence. 

Singtel, M1 and StarHub has since dropped its prices in the past week to provide more competitive deals. 

“We don’t believe there’s a price war,” MyRepublic CEO Malcolm Rodrigues told The Straits Times. “What they’re doing is adding to the monthly bill. This doesn’t change our business plan.”

MyRepublic is seeking $110 million (S$150 million) from private equity firms and $73 million (S$100 million) of loans with a six to seven year maturity, according to its CEO. Goldman Sachs and DBS have secured two-thirds of the equity financing, with the rest to come in May. 

In February, Infocomm Development Authority of Singapore (IDA) – the country’s telecoms regulator – announced the impending spectrum auction that will be held in two stages. The first of which is expected to take place in Q3 2016. 

Regional mobile software provider Consistel has also announced plans to participate in the upcoming spectrum and invest a combination of debt and equity funding of as much as $951 million (S$1.3 billion). 

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