Digital Nasional Berhad (DNB) has completed a RM5.2 billion financing exercise as it moves into the next phase of Malaysia’s 5G development.
The financing comes as the nation’s first 5G network has secured a new long-term spectrum assignment, while the government (via MOF Inc) will exit as an ordinary shareholder.
CelcomDigi, Maxis and YTL are expected to hold equal ownership in DNB. Transition is expected to be completed in early Q4 2026, however, MOF Inc. will retain a special share.
DNB completes RM5.2 billion financing
DNB said it has completed a RM5.2 billion Syndicated Islamic Term Financing exercise, which it described as among the largest syndicated loan facilities ever arranged for an unlisted company in Malaysia.
Maybank Investment Bank acted as Mandated Lead Arranger, Bookrunner and Coordinating Arranger, while AmInvestment Bank, CIMB Islamic Bank, RHB Islamic Bank and United Overseas Bank Malaysia were Joint Mandated Lead Arrangers. AmInvestment Bank also acted as financial adviser to DNB.
The financing will also be used to refinance DNB’s Government Guarantee Revolving Credit Facility (GGRCF), which expired on 29 September 2026.
According to DNB, the new financing provides a sustainable long-term funding structure to support its future growth.
The financing is also expected to reduce the need for additional equity funding from DNB’s mobile network operator shareholders, based on DNB’s current regulatory commitments and funding requirements.
DNB CEO Datuk Azman Ismail said, “The successful completion of this RM5.2 billion financing exercise marks a significant milestone for DNB and reflects strong confidence in our business fundamentals, operational track record and long-term role in Malaysia’s digital economy. This financing provides DNB with a sustainable platform to operate on its own, continue investing in network enhancement and capacity expansion, and leverage our expanded spectrum assets.”
He added, “As Malaysia progresses under the dual network framework, DNB remains committed to providing world-class digital infrastructure that supports our shareholders, customers, enterprises and government agencies. With strong financing, enhanced spectrum resources and a proven nationwide 5G platform, DNB is well positioned to support the Government’s AI Nation aspirations and help power Malaysia’s next phase of digital growth.”
DNB gets 15-year 5G spectrum certainty
DNB has also received the full 100MHz block in the 3.3GHz to 3.4GHz band, known as F0, while its entire 240MHz spectrum holding has been converted from Apparatus Assignment (AA) into Spectrum Assignment (SA).
The Spectrum Assignment for a 15-year period awarded by the MCMC provides greater long-term certainty over spectrum availability and it takes effect from 1 October 2026.
By securing 200MHz of the contiguous mid-band spectrum (3.3 to 3.5GHz), DNB has a stronger foundation to modernise the network, expand indoor building solutions, enhance coverage and maximise spectrum utilisation. In addition, DNB also has 2x 20Hz blocks of the low band spectrum with 703MHz to 723MHz and 758Hz to 778MHz.
DNB said its spectrum holdings will also support higher network capacity and efficiency, as well as technologies including Massive MIMO, carrier aggregation, 5G Advanced and AI-driven network capabilities.
MOF to retain special share in DNB
While the recent financing facilitates MOF Inc.’s planned exit as an ordinary shareholder of DNB, the government via MOF Inc will continue to retain a special share in the company. According to DNB, the special share will safeguard national interests and ensure continued stewardship over key strategic matters.
Following the share transfer, the mobile network operator shareholders would assume a greater role in jointly steering DNB’s strategic and operational priorities.
In a separate statement issued by CelcomDigi, the telco says it will bring its scale, nationwide network assets and more than 30 years of telecommunications experience to support DNB. This includes leveraging on existing infrastructure, sites and capabilities to drive cost efficiencies, support coverage expansion and accelerate indoor 5G deployment.