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DiGi and Green Packet discussing tie-up options?

10 Sep 2013

Malaysian mobile network operator DiGi Telecommunications is said to be examining a possible tie-up with local equipment vendor Green Packet, which controls WiMAX operator Packet One (P1). According to the Business Times, the negotiations between DiGi and Green Packet are understood to be considering two possibilities, the first of which is an outright sale of P1, while the second would see a platform lease sharing deal between the pair. An unnamed source was cited as saying of the options on the table: ‘DiGi favours a platform-sharing arrangement as the MYR700 million (USD225 million) price tag for P1 does not make sense, as Green Packet’s market capitalisation is less than half of that.’ The report, meanwhile, claims that DiGi’s interest in P1 comes as a partnership with, or acquisition of, the WiMAX operator could allow the cellco to enhance its spectrum holdings and roll out 4G services as early as next year.

Malaysia, (CelcomDigi) Digi, GreenPacket, webe (formerly Packet One Malaysia)

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