KUALA LUMPUR (Jan 16): Telekom Malaysia Bhd (TM) and Tenaga Nasional Bhd (TNB) have signed a memorandum of understanding to jointly develop an implementation plan to deliver the government’s Nationwide Fiberisation Plan. 

The two government-linked companies said the collaboration will capitalise on the strength of both parties, enabling the most efficient cost structure and accelerating the fibre broadband network reach, in line with the government’s move to drive Malaysia’s digital economy. 

“Furthermore, the roll-out under TM and TNB, as two of Malaysia’s leading institutions, ensures the safety and security of the nation’s strategic and critical infrastructure. 

“The proposed network will also continue the existing open access participation of industry players to promote private sector competition in retail broadband,”  two companies said in a joint press statement today. 

The MOU was signed by TM managing director and group executive officer Datuk Seri Mohammed Shazalli Ramly and TNB president and chief executive officer Datuk Seri Azman Mohd. 

A definitive agreement will be signed between the parties, following finalisation of the terms. 

TM’s share price rose 5 sen or 0.84% to close at RM6 today, giving it a market capitalisation of RM22.55 billion. 

TNB gained 6 sen or 0.38% to close at RM15.88, for a market capitalisation of RM89.52 billion.