KUALA LUMPUR: Digital Nasional Berhad (DNB) has announced that the Share Subscription Agreement (SSA) between it and Telekom Malaysia Berhad (TM) has been terminated.

This was after the agreement's conditions precedent longstop date expired on Dec 1, 2023 and an extension was given from June 21 until Aug 21 of this year.

In June, Communications Minister Fahmi Fadzil said that telcos were ready to sign such an agreement to take up equity in DNB to be involved in the implementation of of the dual network 5G model.

The longstop date of the SSA was given to enable TM to seek shareholders' approval, which was one of the conditions of the agreement.

TM, however, failed to do so and requested a further extension until Dec 31.

After deliberation, DNB took the decision not to extend the deadline and terminated the SSA.

DNB clarified that the termination does not impact its SSAs with four mobile network operators, namely CelcomDigi Berhad through Infranation Sdn Bhd, Maxis Broadband Sdn Bhd, U Mobile Sdn Bhd, and YTL Communications Sdn Bhd through YTL Power International Sdn Bhd.

Through the SSAs, the four operators collectively gained 65.1 per cent equity stake in DNB.

https://www.nst.com.my/news/nation/2024/08/1095959/dnb-terminates-share-subscription-agreement-tm