YTL Communications not bidding for P1 controlling stake

19 Mar 2014

Malaysia’s YTL Communications is not among the companies vying for a controlling stake in Green Packet’s mobile broadband unit Packet One Networks (P1), according to the Sun Daily. In response to questions as to whether YTL was bidding for the WiMAX operator, CEO Wing K Lee was cited as saying: ‘No, it’s not true.’ However, the executive did not confirm whether his company was interested in a stake in P1, while when asked as to whether YTL had conducted due diligence on its rival he simply replied: ‘No comment.’

Green Packet is expected to announce the identity of the successful buyer of its 57% stake in P1 later this month. As previously reported by CommsUpdate, in June 2013 Green Packet was said to be examining a number of options regarding its wireless broadband unit. While the company confirmed it could consider selling a stake in P1 to a strategic investor, alternatives were reportedly being considered, including an initial public offering (IPO), or a merger or collaboration. Subsequently, in January 2014 it was said that a mergers and acquisition deal involving P1 was said to have moved closer, with local press citing banking sources claiming that legal documents had been drafted by advisers.

In addition, suggestions that YTL is eyeing a takeover of Asiaspace Broadband’s 30MHz allocation in the 2.3GHz band have also been refuted. To that end, Wing said that the two companies are though planning to collaborate on infrastructure and spectrum sharing. ‘With the collaboration, (we will avoid) duplicity of infrastructure and maximize the use of bandwidth for the wireless broadband services nationwide by both companies to provide quality and uninterrupted services,’ the executive said of its plans.

YTL, which like both P1 and Asiaspace currently only offers commercial services via WiMAX, has meanwhile said that it is close to rolling out LTE technology on a commercial basis. With Wing noting that his company has now completed trials of the 4G technology he stopped short of giving a definitive launch date, however.

Malaysia, Asiaspace, webe (formerly Packet One Malaysia), YTL Communications (Yes)