Pic By TMR File
Axiata Group Bhd’s subsidiary edotco Malaysia Sdn Bhd is buying a 80% stake in Tanjung Digital Sdn Bhd for RM140 million cash from Utara Jernih Sdn Bhd and Mohd Azam Saad.
In a filing with Bursa Malaysia on Friday, the telco giant noted the deal will be funded with internally generated funds of which RM25 million shall be for the shares and RM115 million for redemption of funding facility taken by Tanjung Digital.
The transaction would allow edotco MY to expand its presence in Kedah with a sizeable portfolio of 225 towers. This is in line with edotco MY’s plans to scale up its operations in Malaysia especially with respect to the build to suit rights in Kedah.
The proposed acquisition will not have any material impact on Axiata for the financial year ending Dec 31, 2018. In a separate filing, Axiata noted it has received the approval of Pakistan Telecommunication Authority for the change of shareholding in edotco PK by way of subscription of 45% of edotco PK’s share capital by Dawood Hercules Corp Ltd.