RPT Singapore's ST Telemedia sells stake in Indosat to Qatar Telecom

Singapore Technologies Telemedia (ST Telemedia), a wholly-owned unit of state-linked investment firm Temasek Holdings, said over the weekend that it has sold its interest in Indonesian telecommunications company PT Indosat to business partner Qatar Telecom (Qtel).

Qatar Telecom will pay $1.8 billion for the 40.8 percent stake in Indosat held by Asia Mobile Holdings, a joint venture between Qtel and ST Telemedia.

'ST Telemedia will no longer have any involvement in Indosat,' the company said in a statement.

Earlier an Indonesian competition watchdog ruled that Temasek has broken the country's anti-monopoly laws and ordered the Singapore investment firm to divest its holdings in either

Indosat or PT Telkomsel.

Temasek indirectly holds 35 percent of Telkomsel via its 56-percent owned unit Singapore Telecommunications Ltd.

Indonesia's Central Jakarta district court last month upheld the ruling by the country's competition watchdog and Temasek subsequently filed an appeal to the Indonesian Supreme Court.

($1=S$1.36)