Tuas Slides on ASX as Simba Faces a Crucial Regulatory Test

Highlights

• Simba faces allegations concerning unauthorised spectrum use, equipment installation and regulatory compliance.
• Possible sanctions include financial penalties, spectrum restrictions and changes to operating licences.
• A November response deadline approaches, while the regulator has confirmed no findings.

Regulatory Notice Raises Questions

Tuas Limited (ASX: TUA) announced on 26 October 2026 that its wholly owned subsidiary, Simba Telecom Pte Ltd, had received a regulatory notice in Singapore. Its current market price stood at AU$1.110 after a 39% decline, according to supplied market figures. Potential restrictions on Simba’s spectrum rights and operating licences have brought uncertainty surrounding the business into focus.

Singapore’s Infocomm Media Development Authority (IMDA) issued the Notice to Show Cause, which Simba received around 7:30pm Sydney time on 23 October 2026.

Spectrum Use Comes Under Scrutiny

IMDA alleges Simba deployed dynamic spectrum sharing at approximately 133 sites intermittently during 2022 and 2023. This enabled the 2100 MHz band to support both 4G and 5G, although authorisation covered only 5G.

The regulator also alleges unauthorised use of the 2340–2360 MHz band at approximately 92 sites intermittently between 2023 and 2026. It alleges senior management intentionally approved these activities.

Equipment and Compliance Concerns Emerge

Another allegation concerns indoor 5G radio access network equipment deployed at two locations during 2023, before authorisation was granted on 14 November 2023.

IMDA additionally alleges incomplete compliance with a production order and intentional withholding of documents. Concerns about governance and compliance culture could lead to further obligations under Simba’s operator licence.

Potential Penalties Extend Beyond Fines

Possible measures include suspension or cancellation of spectrum rights, financial penalties and orders requiring compliance with licence conditions.

Under each of the separate spectrum and telecommunications frameworks, potential financial penalties cannot exceed the higher of 10% of relevant annual business turnover, based on the latest audited accounts, or $1 million.

Other potential actions include cancelling or suspending licences, shortening their duration and introducing additional governance requirements.

Outlook

Simba intends to submit its response by 16 November 2026, making that deadline the next milestone for investors.

IMDA has not concluded whether enforcement action is necessary or determined any sanction. Tuas declined further comment while the regulator considers the matter, leaving the outcome unresolved.

Note- All data presented is based on information available at the time of writing.

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