July 25 (Bloomberg) -- MobileOne Ltd., Singapore's smallest mobile-phone operator, will offer Apple Inc.'s iPhone in its retail outlets by the end of this year.

``I think, before the end of the year we will be'' carrying the phones in our stores, Chief Executive Officer Neil Montefiore said today in a Bloomberg Television interview. ``It will become available in all markets, with all operators.''

MobileOne's shares rose 2.1 percent to close at S$1.96, the highest in more than a month. Its stock price has risen 3.2 percent so far this year, against a 16 percent drop in the broader benchmark Straits Times Index.

Singapore Telecommunications Ltd., the country's biggest phone company, said in May it won exclusive rights to distribute the iPhone in the city-state. Chief Executive Officer Chua Sock Koong said in a shareholders' meeting today the timing of the sale of the iPhone will be determined by Apple and a formal release date has not been confirmed.

``We are very keen to have the iPhone launched in Singapore as soon as possible. Unfortunately, the schedule is controlled by Apple,'' Chua said. ``But definitely before the end of the year.''

StarHub Ltd., the second-largest mobile operator, said in May it also expects to offer the handsets by year-end.

MobileOne yesterday reported second-quarter profit rose 1.2 percent to S$41.1 million ($30 million) after winning more customers. That was higher than the S$38 million median profit estimate of three analysts surveyed by Bloomberg News. Sales increased 2.8 percent to S$205.3 million.

Montefiore spent more on advertising and promotions to keep customers after a rule change on June 13 allowed users to switch operators and retain their numbers. MobileOne won 57,000 users during the quarter, compared with 31,000 a year earlier, as it battled to stem defections to its two rivals.

To contact the reporter on this story: Tan Wei Xin in Singapore at ftan22@bloomberg.net.

Last Updated: July 25, 2008 06:46 EDT