Following the announcement from U Mobile yesterday, the Finance Minister confirmed today that Maxis also declined to take up any equity in Digital National Berhad (DNB), the sole 5G network provider owned by the Government of Malaysia.
According to media reports, the current Finance Minister of Malaysia, Tengku Datuk Seri Zafrul Aziz has invited the remaining four mobile network operators (MNOs), namely Telekom Malaysia (TM), Celcom Axiata, Digi and YTL Communications to increase their equity participation in Digital Nasional Bhd (DNB), following the withdrawal of Maxis and U Mobile from the DNB Share Subscription Agreement (SSA).
It has been reported that only Telekom Malaysia and YTL Communications have concluded the SSA. However no announcement have been made by these public listed companies.
The Finance Minister also said the government will not increase its 30% stake in DNB and it hopes that the four MNOs would take up the shares initially offered to Maxis and U Mobile.
The six MNOs were initially allowed to take an 11.67% stake each under the share subscription agreement (SSA) with DNB.
“Since U Mobile and Maxis pulled out, the shareholding [under the] SSA has changed. We invite the remaining MNOs to increase their interest in DNB,” said Zafrul.
“This process is still ongoing and we hope to conclude this in two weeks,” reported TheEdgeMarkets.
Zafrul said Telekom Malaysia Bhd (on behalf of unifi Mobile) and YTL Communications Sdn Bhd (on behalf of Yes) have already firmed up their SSAs.
However, at the time of writing, it is still unclear if these two players have increased or maintained their stakes in DNB.
Zafrul added that Axiata Group Bhd (via its mobile arm Celcom Axiata Bhd) and Digi.Com Bhd, upon their merger, will only be allowed to hold a maximum 25% stake in DNB.
Zafrul also said that the Ministry of Communications and Multimedia has suggested opening up the stakes declined by Maxis and U Mobile to new local and foreign MNOs.
“The theory is, the more MNO players the merrier it is for the end users. On the MOF (Ministry of Finance) end, we are open to having many more shareholders.
“However, we are leaving the decision entirely to Communications and Multimedia Minister Tan Sri Annuar Musa,” he said.
[Source] – TheEdgeMarkets