DNB to conclude 5G agreements with 4 telcos

 

5G coverage has currently reached about 30% of populated areas and is on track to achieve the 80% target by 2024.

KUALA LUMPUR: Digital Nasional Bhd (DNB) said the execution of share subscription agreements (SSAs) with mobile network operators (MNOs) will be concluded soon.

It said although the SSAs were finalised and ready to be executed by six MNOs on Aug 30, there was a last-minute change in the decision by two of them.

“One of them decided not to proceed, while the other has not responded, despite their confirmation to participate earlier,” the state-owned 5G agency said in a statement.

Accordingly, it said, revisions to the transaction documents (SSAs and shareholder agreement) needed to be made to allow equity subscription by four MNOs instead of six, which consequently require further internal approvals from the four MNOs.

DNB said the four MNOs remain interested, and it was envisaged that the equity participation process would progress to completion with them.

However, discussions on the 5G access agreements were progressing with all six MNOs under a separate and independent track, it added.

“DNB is committed to ensure that the 5G network and infrastructure will continue to be deployed on an accelerated basis,” the statement said.

5G coverage has currently reached about 30% of populated areas and is on track to achieve the 80% target by 2024.

The six MNOs are Maxis, U Mobile, Celcom Axiata, Digi Telecommunications, YTL Communications, and Telekom Malaysia.

Maxis and U Mobile do not plan to take stakes in DNB, media reports quoting sources said today. - FMT