Axiata plans Myanmar exit, sells tower business for RM713m

AXIATA Group Bhd intends to exit the Myanmar market by divesting its Myanmar tower business for approximately RM713 million (US$150 million).

The divestment is part of Axiata’s strategy to withdraw from the Southeast Asian country due to deteriorating macroeconomics and operational conditions.

Its subsidiary, edotco Group Sdn Bhd, will sell its entire 87.5% stake in edotco Investments Singapore Pte Ltd, which holds Axiata’s investments in Myanmar.

The divestment aims to strengthen Axiata’s balance sheet and enhance shareholder value by reducing debt.

While the buyer remains undisclosed, the divestment is expected to be completed within 12 months without a significant impact on Axiata’s earnings for the fiscal year ending December 31, 2024.

Shares in Axiata closed down 2 sen or 0.76% at RM2.61 today, resulting in the group’s market capitalization standing at RM23.96 billion. — TMR