Kuala Lumpur: Digital Nasional Bhd (DNB) has commenced a significant restructuring process as it updates its business and funding strategies, implementing an operational and cost optimisation approach, the Ministry of Digital reported. This development marks the transition from a single wholesale network (SWN) model to a dual 5G network model, necessitating substantial changes in DNB’s operations, as the company was initially founded under the SWN framework.

According to BERNAMA News Agency, the government holds approximately a 34.9 per cent equity stake in DNB, along with special shares. As part of the transition, and in line with the DNB Shareholders’ Agreement, the government will receive compensation for its shareholding and transfer its stake to telecommunications companies (telcos) that are DNB shareholders.

The government’s loan injection into DNB will be repaid by the telco shareholders, including interest charges. Additionally, government-guaranteed loans will be refinanced, thus releasing the government from its guarantee obligation, the ministry stated in response to Datuk Wan Saiful Wan Jan’s (PN-Tasek Gelugor) query about the government’s strategy to ensure DNB’s sustainability and financial returns.

The ministry highlighted that DNB is collaborating closely with its telco shareholders and industry experts to secure its long-term viability. The government remains committed to supporting DNB throughout this transition process and ensuring the success of both 5G networks under the dual-network model.