TM among top losers after broadband price cut announcement

Telekom Malaysia Bhd (TM) was the third biggest loser on Bursa Malaysia this morning, on news that Malaysia’s broadband price is expected to fall by at least 25 per cent by year-end.

At 10.05 am, shares of the telecommunications giant sank 35 sen or 9.64 per cent to RM3.28 from yesterday’s close of RM3.63 with 22.14 million shares changing hands.

At the opening bell, TM opened two sen lower at RM3.61.

Yesterday, Communications and Multimedia Minister Gobind Singh Deo said the price adjustment followed implementation of the Mandatory Standard on Access Pricing from June 8 this year.

“The relevant parties are now in discussions on setting the wholesale price and processes which are expected to be rolled out in July or August, during which cheaper broadband packages will be offered to consumers,” he said.

He added that discussions would also be held among telcos on whether rebates are to be given to customers.- BERNAMA