Khazanah, Telenor halt Axiata talks on politics

Axiata and Telenor had already backed down from plans to combine their Asian telecom operations, opting instead for a more piecemeal approach where Telenor would initially buy a stake in the Malaysian carrier.

KUALA LUMPUR: Malaysia’s political upheaval risks derailing a deal involving the nation’s biggest mobile-phone carrier, according to sources.

Talks between Axiata Group Bhd’s biggest owner and Norwegian operator Telenor ASA that were re-opened earlier this year have come to a standstill, the sources said. The change in government – at a time when Axiata is undergoing its own leadership transition – has left executives and advisers uncertain about who’s going to push through a transaction, according to the sources.