| Type | Announcement |
| Subject | DiGi.Com Berhad ("DiGi") - Domestic Roaming Agreement between DiGi Telecommunications Sdn Bhd ("DiGi Tel") and U Mobile Sdn Bhd ("U Mobile") |
| Contents | 1) Introduction The Board of Directors of DiGi.Com Berhad (“DiGi” or the “Company”) wishes to announce that its wholly-owned subsidiary, DiGi Tel had on 10 December 2009 entered into a Domestic Roaming Agreement (“DR Agreement”) with U Mobile giving U Mobile access to DiGi Tel’s nationwide 2G GSM network for the provision of public mobile telecommunications services in Malaysia. 2) Salient terms of the DR Agreement The Parties agreed that during the duration of the DR Agreement, DiGi Tel shall be the exclusive provider of the domestic roaming traffic services for U Mobile. The DR Agreement will give U Mobile access to DiGi Tel’s extensive 2G GSM network enabling U Mobile to offer its customers an improved comprehensive portfolio of voice, SMS and data services (including GPRS/EDGE) nationwide. The agreement will see the establishment of seamless hand-over of voice calls from U Mobile’s 3G network to DiGi Tel’s 2G GSM network. The DR Agreement shall remain in full force for three (3) years from commercial launch and may be further renewed for a period of two (2) years. The DR Agreement is conditional upon U Mobile ending its existing Domestic Roaming arrangement and providing a deposit with DiGi Tel. 3) Information on U Mobile U Mobile was incorporated under the Companies Act, 1965 on 29 August 1991. The principal activity of U Mobile is that of the provision of multimedia interactive television and telecommunications services. 4) Rationale The DR agreement is expected to leverage DiGi Tel’s existing infrastructure and generate additional revenue. By increasing the traffic volumes through the contribution of U Mobile traffic, DiGi Tel will benefit from increased utilization and network efficiency. It also reflects DiGi’s commitment to support the government objectives to foster healthy competition in the telecommunications industry with efficient usage of assets through sharing. 5) Approval of Shareholders and Authorities The DR Agreement is not subject to the approval of the shareholders of DiGi nor any relevant governmental authorities. 6) Financial Effects The DR Agreement does not have any effect on the issued and paid-up share capital of DiGi and is not expected to have any material effect on the earnings, gearings and net assets of the DiGi Group for the financial year ending 31 December 2009. 7) Directors’ And Major/Substantial Shareholders’ Interest None of the directors and major shareholders of DiGi and/or persons connected to them have any interest direct and/or indirect in the DR Agreement. 8) Directors’ Opinion The Board of DiGi is of the opinion that the DR Agreement is in the best interest of DiGi. This announcement is dated 10 December 2009. |
| Company Name | DIGI.COM BERHAD |
| Stock Name | DIGI |
| Date Announced | 10 Dec 2009 |
| Category | General Announcement |
| Reference No | CC-091119-59067 |
