A WAR is what Axiata Group Bhd /Axiata Celcom is planning for. And all this is partly for the alphabet V . V is neither Victory or Vanquished , rather the V Axiata is having nightmaresbpn is the V that stands for VIRTUAL.
In the name of love
One man come in the name of love
One man, he come and go
One man comes he to justify
One man to overthrow
One man come in the name of love
One man, he come and go
One man comes he to justify
One man to overthrow
UP till today, Axiata Celcom is a Mobile Network Operator (MNO) but the moment they sign up with the Government sponsored Digital Nasional Bhd, Axiata Celcom will become a Mobile VIRTUAL Network Operator (MVNO). READ : What is the difference between a mobile network operator and a mobile VIRTUAL Network Operator.
AS a MVNO, Celcom will have to really compete and not be given a free lunch on a silver platter. This is something that frightens the day lights of the highly paid people at Axiata Group Bhd.
ESPECIALLY since Axiata Group"s debt has been rising , while it's cash reserves are dwindling almost every quarter. As at December 31 2021, Axiata's net debt after minusing its RM6.75 billion cash reserves stood at RM12.4 billion.
IN the quarter before that, Axiata' net debt stood at RM10.7 billion, meaning in just 3 months, Axiata's net debt grew by RM1.7 billion which translates to daily net debt increase of RM18 million a day , every day.
WORST still, as Simply Wall Street CAUSIONED over the weekend READ ,: WATCH OUT for Axiata's debt, as an extremely heavy dilution would be required if the company were forced to pay down its liabilities by raising capital at the current share price
AND why is this so? Well as at end of trading on Friday, Axiata's had a net liability of RM37.5 billion while the company's market value stood at RM29.5 billion.
WHAT does all these mean to us the consumer. Frankly speaking, they want to kill off Digital Nasional Bhd in its current form, so that WE, the consumer continue paying through our noses
