KUALA LUMPUR (Dec 13): RHB Research Institute is maintaining a market perform on Axiata Group and a fair value of RM5.15.
It said on Tuesday it was positive if Celcom wins the tender to build infrastructure for the country’s digital terrestrial television broadcasting (DTTB) network.
The research house said this was due to the potential for recurring income from renting out the infrastructure for the DTTB network to TV broadcasters.
“Capex demands on Celcom do not appear too significant. Assuming the cost of building the DTTB network infrastructure is split equally, Celcom only needs to spend an incremental capex of up to RM83 million per annum on top of its existing RM1 billion planned for 2012,” it said.
On Monday, Celcom signed a teaming agreement with Broadcast Australia, its technical partner to bid for the DTTB network development.
The Edge FinancialDaily said Celcom estimated the cost of building the infrastructure for the DTTB network would be RM500 million over three to five years, but the share of investment and stakeholding by Celcom and Broadcast Australia has yet to be determined.
It said on Tuesday it was positive if Celcom wins the tender to build infrastructure for the country’s digital terrestrial television broadcasting (DTTB) network.
The research house said this was due to the potential for recurring income from renting out the infrastructure for the DTTB network to TV broadcasters.
“Capex demands on Celcom do not appear too significant. Assuming the cost of building the DTTB network infrastructure is split equally, Celcom only needs to spend an incremental capex of up to RM83 million per annum on top of its existing RM1 billion planned for 2012,” it said.
On Monday, Celcom signed a teaming agreement with Broadcast Australia, its technical partner to bid for the DTTB network development.
The Edge FinancialDaily said Celcom estimated the cost of building the infrastructure for the DTTB network would be RM500 million over three to five years, but the share of investment and stakeholding by Celcom and Broadcast Australia has yet to be determined.
