Axiata: No re-merger talks underway with TM

Axiata: No re-merger talks underway with TM

 

KUALA LUMPUR,.  There are no ongoing re-merger talks with Telekom Malaysia Bhd (TM), despite the potential synergies, accordint to Axiata Group Bhd president and group chief executive officer Tan Sri Jamaludin Ibrahim.

According to a report by The Edge, he said both companies will undertake the usual business collaborations to leverage on their respective strengths.

“While both parties would (stand to) gain (from a re-merger), but remember, we demerged for certain reasons and those reasons are still true today.

“We wouldn’t have demerged (in April 2008) if we knew that it wouldn’t be beneficial for us. In short, frankly, I do not think that it will be something that can happen immediately. It is very complex stuff,” he reportedly said.

He noted there are a few reasons why the group had demerged; as some of them are not to be disclosed.

“But on a business focus, you can argue that today, both companies are doing mobile and fixed lines and what we have decided to do instead of a re-merger is to collaborate,” he said.

Jamaludin also said Celcom Axiata Bhd is renegotiating a 2016 collaboration agreement with TM.