Malaysian Telcos to Take 70% Stake in State-Owned Digital Nasional
By Ying Xian Wong
A group of five Malaysian mobile network operators have signed a deal to take a combined 70% equity stake in state-owned Digital Nasional, the country's sole provider of 5G services, for about $250 million.
CelcomDigi, Maxis Bhd., U Mobile Sdn Bhd., Telekom Malaysia and YTL Power International will each take stakes of 14% in Digital Nasional for about 233 million ringgit ($49.9 million) apiece, the 5G network supplier said in a statement Friday.
The government will hold the remaining 30% of the company, it said, adding that the share-subscription agreements are expected to be completed between February and April 2024.
The move comes after Malaysia's communications minister, Fahmi Fadzil, announced a policy change that will allow a second 5G network to be formed in the country.
The five mobile network operators plan to use Digital Nasional's infrastructure to roll out 5G services in preparation for a dual network system.
Prior to Friday's deal, CelcomDigi, U Mobile, Telekom Malaysia and YTL had a collective 65% share in the state-owned company, with the government owning the rest plus a "golden share" giving it various rights and privileges.
Write to Ying Xian Wong at yingxian.wong@wsj.com
(END) Dow Jones Newswires
December 03, 2023 20:37 ET (01:37 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
Port Strike a Headache for Shippers but a Potential Tailwind for Certain US Transport Stocks
-
13 Charts on Q3′s Roller Coaster Rally for Stocks and Bonds
-
5 Stocks to Buy Instead of Overpriced US Equities
-
Q4 Stock Market Outlook: Where We See Opportunities for Investors
-
Markets Brief: Non-Farm Payrolls in the Spotlight Again
-
6 Top-Performing Large-Growth Funds
-
What’s the Difference Between the CPI and PCE Indexes?
-
Micron Earnings: Great Guidance but Stock Now Looks Fairly Valued
-
33 Undervalued Stocks
-
Communication Services: Cable’s Broadband Dominance Isn’t as Strong as It Once Was
-
Technology: Strength Continues, With Software Presenting the Best Buying Opportunities
-
Best- and Worst-Performing Stocks of Q3 2024
-
Top Stocks to Own From the Best Fund Managers
-
2 Cheap Stocks Top Managers Have Been Buying
-
The 10 Best Companies to Invest in Now
-
New 4-Star Stocks