Malaysian fibre-optic capacity provider Time dotCom (TdC) said it would buy three local companies for a total of MR339m (US$108.3m) in order to become a regional telco player.
The company will pay MR128m (US$40.9m) for AIMS Group, a local network data…
Malaysian fibre-optic capacity provider Time dotCom (TdC) said it would buy three local companies for a total of MR339m (US$108.3m) in order to become a regional telco player.
The company will pay MR128m (US$40.9m) for AIMS Group, a local network data centre. It will also pay MR106m (US$33.9m) for Global Transit Communications, a wholesale internet service and backhaul provider, as well as MR 105m (US$33.5m) for Global Transit. The Global Transit purchase will give TdC a 10% stake in the trans-Pacific submarine cable Unity North Cable System.
TelecomFinance understands that the legal adviser on the transactions is Kadir Andri, while financial advice is provided by UBS, CIMB and Public Investment Bank. The deals are expected to close in six months.
“This marks TdC’s transformation into a regional telco player and we see these acquisitions as value boosters that make good business sense,” said Ronnie Kok Lai Huat, senior independent director, in a statement.
The company added in the statement that it is proposing to restructure its capital by cutting losses and carrying out a capital reduction and share consolidation exercise. TdC is also looking to make a capital repayment to shareholders totalling RM 50.6m (US$16m).
