IDT sees telecoms products spin-off

IDT International is considering the possible spin-off of its telecommunication products business on the Singapore stock exchange after cancelling the proposed Nasdaq listing of its consumer electronics division Oregon Scientific.

IDT said it had submitted an application to the Singapore exchange on Friday but reiterated that the proposed spin-off of its telecoms product-arm was still at a preliminary stage and that the specific terms and timing of the listing were yet to be settled.

If IDT proceeds with the listing, new shares will be issued in addition to the subsidiary's current issued shares in its public offering.

The spin-off is subject to the approval of the respective stock exchanges of Hong Kong and Singapore and also IDT's shareholders.

The company warned investors to exercise caution in the period before the listing was finalised and said there was no guarantee it would proceed.

IDT, headed by chairman Raymond Chan, said it cancelled the proposed Nasdaq listing of Oregon Scientific, for which shareholder approval had expired on November 6, due to the lack of favourable sentiment in the US market over the past year.

The company said it had no plans to list Oregon Scientific on any other stock markets.

Oregon Scientific makes electronic personal information and games products.