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(Source: Davidovich Mikhail/Alamy Stock Photo)
Digital Nasional Berhad (DNB), Malaysia's first wholesale 5G network operator, has now been fully privatized, with the Ministry of Finance (MOF) having completely divested its 31.18% shareholding in the company.
Malaysia's communications minister, Fahmi Fadzil, recently told local media that the government's financial obligations to the DNB had been reduced to zero by the end of last month, after a syndicated Islamic term financing deal worth 5.2 billion Malaysian ringgit (US$1.27 billion) was completed.
"I am happy to say that from the end of September, the government no longer has any liability. We are very thankful that as far as the mobile network operators are concerned, they have committed to what they said they would," Fahmi said, as quoted by the New Strait Times.
He added that the government expects DNB to become fully self-financing in the future, ruling out the possibility of further government assistance.
Related:Malaysia's DNB raises $1.27B for next phase of 5G growth
With the MOF's exit as a majority shareholder, CelcomDigi, Maxis and YTL Communications now hold equal ownership of the DNB. The government still holds a special share in the company to protect national interests and ensure "continued stewardship of key strategic matters".
Expanding corporate reach
The MYR5.2 billion loan, announced in early October, refinances DNB's Government Guarantee Revolving Credit Facility (GGRCF), which expired on September 29, 2026. This provides the company with a sustainable, long-term funding structure to support its future growth.
DNB CEO Azman Ismail was quoted as saying that this financing – paired with the company's recent spectrum assignments and the shareholder transition still underway – would help sustain its operations under Malaysia's dual 5G network structure.
He said that revenue from the company's existing access agreements with telecom operators would support its ability to service its financing obligations, given that growing 5G usage generates higher income.
Ismail added that the DNB plans to expand into the corporate and industry sectors, where the increased use of 5G could boost operational efficiency and create new market opportunities.
About the Author
Senior Editor, APAC, Light Reading
Gigi Onag is Senior Editor, APAC, Light Reading. She has been a technology journalist for more than 15 years, covering various aspects of enterprise IT across Asia-Pacific.
She started with regional IT publications under CMP Asia (now Informa), including Asia Computer Weekly, Intelligent Enterprise Asia and Network Computing Asia and Teledotcom Asia. This was followed by stints with Computerworld Hong Kong and sister publications FutureIoT and FutureCIO. She had contributed articles to South China Morning Post, TechTarget and PC Market among others.
She interspersed her career as a technology editor with a brief sojourn into public relations before returning to journalism, joining the editorial team of Mix Magazine, a MICE publication and its sister publication Business Traveller Asia Pacific.
Gigi is based in Hong Kong and is keen to delve deeper into the region’s wide wild world of telecoms.