Axiata Group and the Group’s infrastructure company, edotco Group, Wednesday announced a USD600 million equity private placement deal with Innovation Network Corp of Japan (INCJ) and Khazanah Nasional, as part of Axiata's move to reduce its debt. Axiata had earlier this year announced its plan to list edotco in 12 to 18 months.
INCJ, a Japanese public- private investment company has committed a share of US$400 million and Khazanah Nasional, the sovereign wealth fund of the Government of Malaysia, committed US$200 million. Definitive agreements are expected to be finalized and signed in January 2017.
edotco currently owns and manages about 25,000 telecommunications towers across Malaysia, Bangladesh, Cambodia, Myanmar and Sri Lanka.
Axiata siad key interests to INCJ are edotco’s unique portfolio in Asia’s high growth frontier markets, its solid customer contracts, strong management team and the Company’s independent operating model.
Suresh Sidhu, CEO of edotco
The additional capital injection will provide edotco the capacity to execute its growth strategies including expansion within Asia via key acquisitions and further in-country organic opportunities.
Tan Sri Jamaludin Ibrahim, President & Group Chief Executive Officer of Axiata
Set up in 2012 as a key pillar of Axiata’s long-term growth strategy, our prime focus was to drive operational excellence and cost efficiencies, as well as to grow the business through expanding the quality of its portfolio and increasing its tenancy ratios.
