Celcom forms JV with I-Mobile on concept stores
TheEdgeDaily writes…Telekom Malaysia Bhd’s (TM) subsidiary Celcom (Malaysia) Bhd has teamed up with Thailand’s I-Mobile International Co Ltd to set up a distribution network of dealers and concept stores based on intellectual property rights owned by Celcom within Malaysia.
In a statement, TM said Celcom subsidiary CT Paging Sdn Bhd (CTP) on Jan 16 entered into a joint venture (JV) agreement with I-Mobile to form the JV vehicle C-Mobile Sdn Bhd. CTP will have a 49% stake in C-Mobile, with I-Mobile holding the balance.
TM said among other things, the concept stores would offer for retail sale, Celcom Mobile Sdn Bhd’s (CMSB) products and services, as well as Samart — i-Mobile (Malaysia) Sdn Bhd’s mobile communication, terminal devices, including mobile handsets, accessories, data cards and content.
CMSB is a subsidiary of Celcom and Samart is a subsidiary of I-Mobile, which in turn is a subsidiary of Samart I-Mobile PLC, a company listed on the Stock Exchange of Thailand (SET).
Samart -Mobile PLC is a 56.35% subsidiary of Samart Corporation PLC, which is also listed on SET. TM’s subsidiary TM International Sdn Bhd holds 18.98% in Samart Corporation and 24.42% in Samart I-Mobile PLC.
TM said the JV would improve Celcom’s distribution channels and brand visibility. It said C-Mobile’s paid-up capital would be increased to RM5 million comprising five million shares of RM1 each within 30 days.
TM said CTP had a call option of up to 11% of I-Mobile’s stake in C-Mobile, exercisable within each three calendar months from the date of C-Mobile’s published audited accounts for each financial year starting from the third, fourth, fifth and sixth financial years, respectively.
It said the option price was to be determined based either on the price earnings multiple of 10 times or 2.5 times net tangible asset of each relevant financial year.
