Logo of Phnom Penh Post newspaper Phnom Penh Post - Japan firm takes another 10pct of telecom Smart

Japan firm takes another 10pct of telecom Smart

Content image - Phnom Penh Post
Axiata Group has sold a 10 percent stake in its Cambodian subsidiary Smart Axiata to Mitsui Co. Heng Chivoan

Japan firm takes another 10pct of telecom Smart

Malaysia-based Axiata Group has sold another 10 percent stake in its Cambodian subsidiary Smart Axiata to Japanese group Mitsui Co Ltd. The Japanese firm now holds 20 percent of the local telecommunications giant.

In May last year, it sold 10 percent of Smart to Mitsui Co. That stake was valued at $66 million, and Mitsui reserved the right to purchase another 10 percent of the firm within a year.

The latest sale has reduced Axiata’s majority interest in Smart Axiata from 82.5 percent to 72.5 percent, with Southern Coast Ventures owning the remaining 7.5 percent.

In a press release obtained by The Post on Wednesday, Smart Axiata said Mitsui’s additional stake in Smart will act as a catalyst to transform the Kingdom into a digital, knowledge and information-based society.

Expertise

“Mitsui’s expertise in various digital portfolios will enable Smart to further strengthen its leadership and continue evolving its lifestyle and entertainment brand beyond being a traditional telecommunications player in Cambodia,” it says.

It adds that there will be no significant change in the company’s management, strategy, or operations after the deal.

Contacted yesterday, Cambodian Ministry of Commerce spokesperson Seang Thay said the deal did not require approval from the ministry, but the company needs to inform the government about shareholder updates.

Telecommunication Regulator of Cambodia spokesman Im Vutha on Wednesday said he hadn’t received any information from the company about the new shareholders, but he said he thought Mitsui should have a positive impact on the industry.

“We hope that with stronger financial support, the telecommunications operator will strengthen the quality of its service for the benefit of Cambodians,” he said.

MOST VIEWED

  • Phnom Penh authorities ban march for Human Rights Day

    Phnom Penh authorities have banned a planned march as local NGOs and workers’ unions gear up to celebrate the 70th anniversary of the signing of the Universal Declaration of Human Rights on Monday, with a youth group leader saying they would march nonetheless. The UN

  • Phnom Penh’s Jet’s Container Night Market shuts down

    The famous Jet’s Container Night Market in central Phnom Penh has shut down due to the high cost of the land rental, company representatives claim. Jet’s Container Night Market is the largest such market in Phnom Penh. It operated for just over two

  • Hun Sen rejects ‘rift’ rumours spread by ‘stupid gangsters’

    Prime Minister Hun Sen on Wednesday denied a “rift” among top leaders of the Cambodian People’s Party (CPP), and rejected claims that Senate president Say Chhum and Interior Minister Sar Kheng were set to be removed from their positions as rumours spread by “gangsters”.

  • EU ambassador to Cambodia: Rights a ‘work in progress’

    The EU ambassador to Cambodia has called human rights “a work in progress” and said the 28-nation bloc has “carefully” noted last week’s statement by the government on taking further steps to strengthen democracy and the political sphere in the Kingdom. The EU marked