A week after CelcomDigi Bhd announced to withdraw from the share subscription agreement (SSA) with Digital Nasional Bhd (DNB), Telekom Malaysia (TM) also took the same step.
According to a notification to Bursa Malaysia on Wednesday, the move was made following the extended date to fulfill all conditions precedent (CP) under the SSA has expired.
However, TM said the termination may not have a major impact on the company's income, net assets and gross debt (gearing) ratio for this year.
Although SSA is terminated, TM customers can still continue to enjoy 5G services and solutions because the 5G wholesale access agreement with DNB remains intact.
Earlier, TM along with other mobile network operators such as CelcomDigi and YTL Communications Sdn Bhd (Yes) had announced that they would collectively take over a 65% stake in DNB.
However, CelcomDigi terminated the SSA agreement earlier this month shortly after the announcement by Communications and Digital Minister Fahmi Fadzil to form two 5G network providers in Malaysia.
DNB is a company owned by the Malaysian Ministry of Finance and regulated by the Malaysian Communications and Multimedia Commission. It was established in early March 2021 to drive the development of 5G infrastructure in Malaysia.
