CelcomDigi ready to complete share subscription agreement with MoF Inc and DNB

KUALA LUMPUR: CelcomDigi Bhd said it is ready to complete the conditional share subscription agreement (SSA) and commence the process to build Malaysia’s second 5G network.

In a filing with Bursa Malaysia today, the company said all conditions precedent in the conditional SSA it entered into with the Minister of Finance (Incorporated) (MoF Inc) and Digital Nasional Bhd (DNB) on Dec 1, 2023 have been met.

In a separate statement, the telecommunication company said this latest announcement confirms its decision to be a shareholder in DNB.

CelcomDigi chief executive officer Datuk Idham Nawawi said the company is supportive of the implementation of the 5G dual network model.

"We will work closely with the government and the Malaysian Communications and Multimedia Commission (MCMC) on the dual network transition plan for the second 5G network towards a fair, transparent and consultative process.

"We hope to have an outcome that equitably balances the economic and market impact, that benefits the government and industry and more importantly Malaysian customers and businesses,” he said.

The Communications Ministry had earlier said that the selection process to build and operate Malaysia’s second 5G network will commence once the SSA(s) are completed.

The company is ahead of schedule in its network integration and modernisation programme to build

the digital network, passing the 50 per cent completion mark in mid-June 2024.

In another development, Maxis Bhd today said the subscription of 100,000 new ordinary shares by Maxis Broadband in DNB at an issue price of RM1.00 each has been completed, and conditions precedent involving share subscription and shareholder advance fulfilled.

"With the fulfilment of the said conditions precedent, the SSA becomes unconditional and parties to the SSA will now progress to the next stage of completing the proposed investment,” it said in a filing with Bursa Malaysia. - Bernama