Digi.Com gets SC’s nod to extend merger application by three months

Digi.Com gets SC’s nod to extend merger application by three months
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KUALA LUMPUR (July 28): Digi.Com Bhd has obtained a three-month extension from the Securities Commission Malaysia (SC) in relation to seeking the authority’s approval for the cellular services provider to merge with Celcom Axiata Bhd.

In a filing with Bursa Malaysia, Digi said it first applied for SC’s approval for the proposed merger on Jan 28 this year. As six months have lapsed from the date of application, the group will be required to submit a new application if it intends to proceed with the proposal.

With the Malaysian Communications and Multimedia Commission (MCMC) having now given its clearance to the merger, Digi said it filed an application to SC to seek a relief from the abovementioned requirement, to file a new application. 

Digi said this is “to facilitate necessary updates to the SC application, taking into consideration the outcome of the MCMC decision.

“Further to the above, we wish to announce that the SC had approved the relief to allow the application to proceed for an additional three months up to Oct 27, 2022,” it said.

“Digi wishes to highlight that it is working towards the closing of the transaction, which is estimated to be within the second half of 2022,” it added.

Digi’s shares closed nine sen or 2.6% higher at RM3.60 per share on Thursday (July 28), giving it a market capitalisation of RM27.99 billion.

Read also: 
Celcom, Digi asked to address MCMC's preliminary competition concerns in merger assessment 
Celcom-Digi merger receives MCMC clearance

Liew Jia Teng