KUALA LUMPUR: Analysts have expressed cautious optimism about the agreements signed by five Malaysian telcos, interpreting them as a collaborative effort to expedite the rollout of the 5G network in Malaysia under a dual wholesale network structure. Kenanga Research believes the agreement marks the first step in facilitating the transition to a 5G dual network, leading to the formation of Entity B, from the single wholesale network model. According to CGS-CIMB Research, the recent agreements suggest that all parties involved have reached a harmonious consensus to propel the 5G network rollouts in Malaysia under a dual wholesale network structure. “On a separate note, we understand that for Entity B shareholders, the prepayment amount offsets against future access payments to DNB. “Therefore, this implies that the cash outlay for shareholder advances are earnings neutral for Entity B shareholders,” it said.

Source: The Star December 05, 2023 08:31 UTC