Malaysia’s Celcom and Digi finalizing merger talks

KUALA LUMPUR — Malaysia-based companies Celcom Axiata and Digi.com announced Thursday that they are finalizing talks on a merger to create the country’s largest telecommunications company.

Celcom Axiata’s parent company, Axiata Group, and Digi’s parent company, Telenor Asia — owned by Norwegian telecommunications company Telenor — would control the merged entity with equal 33.1% stakes.The negotiations are taking place as the Southeast Asian country aims to roll out a 5G network by the end of the year.

Shares in Axiata as well as Digi were suspended ahead of the announcement. Celcom Axiata is unlisted.

Axiata, which is 37%-owned by Malaysian state fund Khazanah Nasional, operates mobile services in Malaysia, Indonesia, Sri Lanka, Bangladesh, Cambodia and Nepal. Telenor, meanwhile, does business in Thailand, Malaysia, Myanmar, Bangladesh and Pakistan. Last year, 53% of its revenue…