Required: Discuss the importance of culture in a merger and how Celcom Axiata and Digi.com can address
Fantastic news! We've Found the answer you've been seeking!
Question:
Required:
Discuss the importance of culture in a merger and how Celcom Axiata and Digi.com can address culture more effectively.
Transcribed Image Text:
KUALA LUMPUR (Nov 30): The merger of Celcom Axiata Bhd and Digi.com Bhd's telco operations have been completed, according to a joint statement from Axiata Group Bhd, Digi.com and the latter's parent company, Telenor Asia Pte Ltd. With the merger completion, Axiata and Telenor (parties) now have equal ownership of 33.1% each in the newly merged entity named Celcom Digi. "On a pro forma basis for the financial year 2021, Celcom Digi will serve an estimated 20 million customers, with revenues of RM13 billion, and earnings before interest, tax, depreciation and amortization (Ebitda) of around RM5.8 billion. The company remains committed to the previous-announced synergy target of RM8 billion," the statement read. Through the combination of scale, competencies, financial strengths, and experiences in serving the diverse needs of Malaysian consumers, Celcom Digi presents a solid proposition to propel the nation's transition towards a digitally enabled high-income society, they added. Axiata's chairman Tan Sri Shahril Ridza Ridzuan said Celcom Digi is strategically poised to invest in network expansion and support the growth of Malaysia's digital ecosystem. "We are also heartened at the role this tech giant can play in spurring talent development here in our very own backyard, as Malaysia charts advancements in 5G innovations, automation, IoT (internet of things), AI (artificial intelligence) and cyber resilience, among others," Shahril said. "Moving forward, I am confident that Celcom Digi backed by the global experiences, excellent governance standards and financial strengths of Axiata and Telenor as shareholders, is well placed to serve Malaysian consumers and enterprises seeking to step up on digital competitiveness in the current era." Telenor executive vice president and head of Asia, Jørgen C Arentz Rostrup said the launch of Celcom Digi "represents a major milestone in Malaysia's digitalisation journey, aligned with Telenor's ambition to build leading operators that serve customers with relevant, attractive and convenient products and services". "By combining the strengths of two well-loved local telco brands, the new company can enhance customer satisfaction and provide a broader platform to serve the growing needs of Malaysian SMEs (small and medium enterprises) and large enterprises. Employees can look forward to development opportunities, build new competencies and shape the growth journey of a successful digital telecom champion," he added. The proposal for the merger of Celcom Axiata and Digi.com's mobile telecommunications network operations was first announced in April last year. Axiata shares ended the day 16 sen or 5.18% higher at RM3.25 on Wednesday (Nov 30), bringing the group a market capitalisation of RM29.83 billion. Digi.com closed 12 sen or 3.09% higher at RM4, valuing the group at RM31.1 billion. KUALA LUMPUR (Nov 30): The merger of Celcom Axiata Bhd and Digi.com Bhd's telco operations have been completed, according to a joint statement from Axiata Group Bhd, Digi.com and the latter's parent company, Telenor Asia Pte Ltd. With the merger completion, Axiata and Telenor (parties) now have equal ownership of 33.1% each in the newly merged entity named Celcom Digi. "On a pro forma basis for the financial year 2021, Celcom Digi will serve an estimated 20 million customers, with revenues of RM13 billion, and earnings before interest, tax, depreciation and amortization (Ebitda) of around RM5.8 billion. The company remains committed to the previous-announced synergy target of RM8 billion," the statement read. Through the combination of scale, competencies, financial strengths, and experiences in serving the diverse needs of Malaysian consumers, Celcom Digi presents a solid proposition to propel the nation's transition towards a digitally enabled high-income society, they added. Axiata's chairman Tan Sri Shahril Ridza Ridzuan said Celcom Digi is strategically poised to invest in network expansion and support the growth of Malaysia's digital ecosystem. "We are also heartened at the role this tech giant can play in spurring talent development here in our very own backyard, as Malaysia charts advancements in 5G innovations, automation, IoT (internet of things), AI (artificial intelligence) and cyber resilience, among others," Shahril said. "Moving forward, I am confident that Celcom Digi backed by the global experiences, excellent governance standards and financial strengths of Axiata and Telenor as shareholders, is well placed to serve Malaysian consumers and enterprises seeking to step up on digital competitiveness in the current era." Telenor executive vice president and head of Asia, Jørgen C Arentz Rostrup said the launch of Celcom Digi "represents a major milestone in Malaysia's digitalisation journey, aligned with Telenor's ambition to build leading operators that serve customers with relevant, attractive and convenient products and services". "By combining the strengths of two well-loved local telco brands, the new company can enhance customer satisfaction and provide a broader platform to serve the growing needs of Malaysian SMEs (small and medium enterprises) and large enterprises. Employees can look forward to development opportunities, build new competencies and shape the growth journey of a successful digital telecom champion," he added. The proposal for the merger of Celcom Axiata and Digi.com's mobile telecommunications network operations was first announced in April last year. Axiata shares ended the day 16 sen or 5.18% higher at RM3.25 on Wednesday (Nov 30), bringing the group a market capitalisation of RM29.83 billion. Digi.com closed 12 sen or 3.09% higher at RM4, valuing the group at RM31.1 billion.
Expert Answer:
Answer rating: 100% (QA)
Culture plays a crucial role in any merger or acquisition as it can significantly impact the success or failure of the integration process The merger between Celcom Axiata and Digicom brings together ... View the full answer
Related Book For
Forensic Accounting and Fraud Examination
ISBN: 978-0078136665
2nd edition
Authors: William Hopwood, george young, Jay Leiner
Posted Date:
Students also viewed these general management questions
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Please help with the discusin questions ! I give thumbs up Case #1: Hailing a New Era: Haier in Japan As one of the most valuable brands in China, Haier designs,manufactures, and sells various home...
-
The instruction to convert 'A' to 'a' is: Select one: a. or al, 0000010b b. or al, 00100000b or al, 00100100b d. or al, 00010000b e. or al, 01100000b
-
How should preferred stock of a subsidiary be shown in a consolidated balance sheet in each case? (a) If it is held 100 percent by the parent (b) If it is held 50 percent by the parent and 50 percent...
-
A layer of water is flowing down a flat plate that is inclined at an angle of $20^{\circ}$ to the vertical. If the depth of the layer is $1 / 4 \mathrm{in}$., what is the shear stress exerted by the...
-
The Drucker Institute ranks corporations for managerial effectiveness based on a composite score derived from the following five factors: customer satisfaction, employee engagement and development,...
-
Roberta Santos, age 41, is single and lives at 120 Sanborne Avenue, Springfield, IL 60781. Her Social Security number is 123-45-6789. Roberta has been divorced from her former husband, Wayne, for...
-
Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost Information relating to the products follow: Selling price per unit Variable expenses per unit...
-
Use the data in COUNTYMURDERS to answer this question. Use only the year 1996. The variable murders is the number of murders reported in the county. The variable execs is the number of executions...
-
Read the accident report detail for "Accident: 837914 - Four Nursing Home Patients Died From Inhaling Nitrogen Gas" from the Occupational Safety and Health Administration (OSHA) to prepare for your...
-
Securitization refers to the pooling of loans and the trading of portions of these loans on securities markets in the form of collateralized debt obligations. True/False
-
Explain how Enron used the Prepay Transactions to overstate CFFO.
-
In order to finance Chewco as an SPE that did not have to become consolidated into Enrons consolidated financial statements, it had to have a minimum of 3 percent of its equity ______________...
-
Krispy Kremes growth was too rapid with the addition of many new franchised stores at the expense of existing franchises. True/False
-
A companys being late in publishing its balance sheet and statement of cash flows is a signal that the company is taking time to ______________ the statements as it has something to ______________ .
-
Determine k so that 1-1 is a factor of f(t)=3t - 2kt + (k-1)t +10
-
Define cultural intelligence. Cite the books or journal articles you found in Capella's library. Explain why cultural intelligence is important for HR practitioners and other organizational managers.
-
Why is so much discretion given to management when it comes to earnings management? What functions does management fulfill when disclosing financial information?
-
What is the main thrust of the United Nations Convention against Transnational Organized Crime and its Protocols?
-
a. What documents / files would Victoria want to see before interviewing anyone? b. What other procedures from Chapter 9 (the evidence chapter), if any, should Victoria consider using to determine...
-
A mercury manometer is connected between two points in a piping system that contains water. The downstream tap is $6 \mathrm{ft}$ higher than the upstream tap, and the manometer reading is $16...
-
The same suspension as that in Problem 39 above was subsequently tested in a $28 \mathrm{~mm}$ internal diameter pipe, and the following data reported: $\Gamma\left(\mathrm{s}^{-1} ight)$ 127 200 289...
-
The manometer equation is $\Delta \Phi=-\Delta ho g \Delta h$, where $\Delta \Phi$ is the difference in the total pressure plus static head $(P+ho g z)$ between the two points to which the manometer...
Study smarter with the SolutionInn App