KUALA LUMPUR (May 16): edotco Pakistan (Pte) Ltd, an indirect subsidiary of Axiata Group Bhd, has received approval to seek funds from local lenders for its acquisition of 13,000 tower assets from Deodar (Pte) Ltd.

"edotco PK has successfully obtained approval from the State Bank of Pakistan allowing local lenders to fund the acquisition of Jazz's portfolio of 13,000 tower assets," Axiata said in a statement today. Jazz is a brand of telecom services under Pakistan Mobile Communications Ltd (PMCL).

This marks another one of the approvals related to edotco Pakistan's planned US$940 million (RM4 billion) acquisition of Deodar from PMCL, which it had announced in August last year.

Axiata added that the final regulatory approvals are in the process of being granted on the change of Deodar's shareholding structure.

"This positive outcome from the government is reflective of Pakistan's push to increase foreign direct investment into the country while fulfilling its digital agenda," said edotco Pakistan.

Axiata had previously said the proposed deal would be funded through US$600 million of debt, US$174 million equity funding from edotco, and US$166 million funding from Pakistan conglomerate Dawood Hercules Corp Ltd.

Shares in Axiata rose 5 sen or 0.97% to close at RM5.21 today, giving the group a market capitalisation of RM47.15 billion.