The SOI was issued to both Celcom and Digi Tel yesterday by the Malaysian Communications and Multimedia Commission (MCMC) pursuant to its Guidelines on Mergers and Acquisitions.

It sets out the MCMC’s preliminary view on competition effects that could arise from the proposed merger.

It invites Digi Tel and Celcom as applicants to submit comments, information and remedies on its assessment, both Axiata Group Bhd (Axiata) and Digi.Com Bhd said in separate filings to Bursa Malaysia on Friday.

Celcom is an operating unit of Axiata Group while Digi Tel is a subsidiary of Digi.Com.

The MCMC, in its SOI, informed that Digi Tel and Celcom will need to deal with the national retail market for mobile and low-speed fixed broadband and data services, including the related local distribution channel markets.

The issuance of the SOI is part of the merger assessment process under the guidelines.

It is intended to provide an opportunity for Digi Tel and Celcom to make submissions in response to the MCMC’s preliminary findings, in line with the guidelines.

“The SOI indicates that this is not the final decision of the MCMC.”

Celcom and Digi Tel will continue to engage with the MCMC to provide a comprehensive response to the SOI for the MCMC’s consideration prior to its final decision, it added.