Maxis, U-Mobile reject offer for minority stakes in DNB

Maxis, U-Mobile reject offer for minority stakes in DNB

Final negotiations between Malaysia’s four major mobile players and Digital Nasional Berhad (DNB) on taking equity stakes in the 5G wholesale network ran into obstacles, with Reuters reporting Maxis and U-Mobile rejected an offer to be minority shareholders.

Sources told the news agency the two operators saw no benefit in holding a minority interest in the state-owned entity but are continuing to discuss terms for accessing the country’s single 5G network.

The deadline for operators to finalise terms of an equity deal is today (31 August). Telekom Malaysia and YTL Communications were the first to agree to take stakes in DNB.

The government offered to allocate up to 70 per cent equity in DNB to operators, but Celcom Axiata, Digi, Maxis and U-Mobile have pushed for a combined majority stake, which the government rejected.

The government said it won’t extend the deadline, but without two key players, its formula for dividing up ownership of DNB will likely need to be recalculated.


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