This article appeared in Bernama on 31 August 2022.

KUALA LUMPUR, Aug 31 (Bernama) --  Digital Nasional Bhd (DNB) said the execution of share subscription agreements (SSAs) with Mobile Network Operators (MNOs) will be concluded soon.

DNB said although the SSAs were finalised and ready to be executed by six MNOs on Aug 30, 2022, there was a last-minute change in the decision by two MNOs.

"One of them decided not to proceed, while the other had not responded, despite their confirmations to participate earlier," the state-owned 5G agency said in a statement, today. 

Accordingly, it said, revisions to the transaction documents (SSAs and shareholder agreement) need to be made to allow equity subscription by four MNOs instead of six, which consequently require further internal approvals from the four MNOs. 

The four MNOs remain interested, and it is envisaged that the equity participation process will progress to completion with the MNOs concerned, DNB said.

However, discussions on the 5G access agreements are progressing with all six MNOs under a separate and independent track, it added.

"DNB is committed to ensure that the 5G network and infrastructure will continue to be deployed on an accelerated basis," the statement said.

5G coverage has currently reached about 30 per cent of populated areas and is on track to achieve the 80 per cent target of populated areas by 2024.

The six MNOs are Maxis Bhd, U Mobile Sdn Bhd, Celcom Axiata Bhd, Digi Telecommunications Sdn Bhd, YTL Communications Sdn Bhd, and Telekom Malaysia Bhd.

Maxis and U Mobile do not plan to take stakes in DNB, media reports quoting sources said today.