Axiata (formerly TMI) will expand in Asia
Filed Under (Business News) by Webmaster on 02-04-2009
Tagged Under : Axiata, TM International
AXIATA Group Bhd, formerly known as TM International Bhd, would for now focus its growth within the 10 Asian countries it is already in.
Besides Malaysia, the group has a notable presence in the Asian region namely in Indonesia, Sri Lanka, Bangladesh, Cambodia, Singapore, India, Thailand, Pakistan and Iran.
“The territories that we are already in today, have a population of about 1.5 billion. We have 90 million (mobile subscribers now). We have a long way to go,” said its president and chief executive officer, Datuk Seri Jamaludin Ibrahim today. “Yes, we are limiting (expansion) at this point in time. In the near future, in the medium term we never know,” he told reporters after the official launch of the new brand identity of Axiata Group Bhd in Kuala Lumpur today.
The limited expansion plan is in line with its new identity which carries a single goal “Advancing Asia”.
Adding to that, its chairman, Tan Sri Azman Mokhtar said Asia alone would keep Axiata “very busy” for many years to come due to its massive population.
Azman said the lower entry cost during the economic crisis would give opportunities to any company but at this time entry cost could go even lower.
Giving a scenario in the recent acquisition in Iran, Azman said the country was an interesting market with its 70 million population and a relatively untapped market.
“Because of its geo-political (situation), we have to structure very carefully. We went in but we made sure we were very disciplined. We really did our homework.”
Explaining the group’s conservative stand, Jamaludin said Axiata does have a long-term plan but it is concerned with what is happening in the market today.
“We are very careful but at the same time if there is anything compelling, we will look at it but we will not look at just any opportunity.”
Axiata, which is now one of the largest mobile players in Asia and serving over 90 million customers, also plans to reduce its capital expenditure to below RM4.5 billion from the RM5.5 billion set previously.
“We would reduce our operating expenditure as well,” Jamaludin said but did not indicate any specific number. – Bernama
