MCMC Approves Digi and Celcom Merger!
According to the news from Axiata Group Berhad and Digi.Com Bhd, the two companies have received a no objection notice from the Malaysian Communications and Multimedia Commission (MCMC), which means they can proceed with their telecom merger plan.
This means that the two telcos have been given the green light by the MCCM to proceed with the merger, which Celcom and Digi submitted to the MCCM in July 2021.
Axiata and Digi said the merger will provide customers with a better quality network and improve coverage. The merger plan will also have the ability to drive 5G, bringing new growth opportunities for large enterprises and SMEs.
To further unlock the country’s digital potential, the merger plan proposes to invest up to RM250 million over five years to establish a world-class innovation hub in Kuala Lumpur to keep Malaysia at the forefront of global digital development. The innovation center will play a key role in advancing extensive research and development in leveraging 5G, artificial intelligence and IoT technologies.
The merger of Digi and Celcom will create Tiptop Digital Network Sdn Bhd, also known as Celcom Digi Berhad, to become the largest telecommunications company in Malaysia.
Under the merger plan, Axiata will transfer 100% of its Celcom shares to Digi.Com and Digi.Com will issue new shares to Axiata and Digi’s parent company Telenor Asia Pte.
