In a bourse filing, Axiata said its wholly owned subsidiary Xpand Investments (Labuan) Ltd had registered Suvitech’s voluntary liquidation.

Axiata said the move comes as a push to reposition and restructure Axiata Business Services Sdn Bhd (ABS) – its business arm – to focus on core products and operating markets.

It said “consolidation of the ABS business and decision to exit the sub-scale Thailand market, led to the voluntary liquidation of Suvitech”.

The voluntary liquidation, expected to be completed within three months, will not have any material financial or operational impact on Axiata for the financial year ending Dec 31, 2023, it said.

Suvitech, an information technology solutions and service company, was incorporated in May 2002. Its present authorised capital is 100 million baht (RM13.05 million), comprising 10 million shares of 10 baht (RM1.30) each.

In May 2017, ABS entered into an agreement for the acquisition of 65% of the issued share capital of Suvitech for US$11.05 million (RM49.28 million).

Axiata’s Sri Lanka moves

Meanwhile, the group also announced yesterday it will be merging its operations in Sri Lanka with Dialog Axiata Plc and Airtel Ltd (Airtel).

The pact would combine the operations of Bharti Airtel Lanka (Private) Ltd, Airtel’s wholly-owned subsidiary, with Dialog, a subsidiary of Axiata Group.

Axiata said the proposed transaction envisages Airtel being granted a stake in Dialog, representing the fair value of Airtel Lanka.

“Airtel would accordingly be issued new shares in Dialog upon completion of the transaction.

“Discussions with respect to the proposed transaction are ongoing between the parties and also with the relevant regulatory authorities as per applicable laws and regulations,” it said.

Axiata’s share price closed 4 sen or 1.33% higher at RM3.04, valuing the company at RM27.9 billion.