KUALA LUMPUR (Reuters) -Malaysia’s sovereign wealth fund Khazanah Nasional Bhd will acquire Innovation Network Corporation of Japan’s (INCJ) stake in telecommunications infrastructure company EDOTCO Group.
The financial details of the deal were not disclosed in the statement. INCJ’s investment in EDOTCO announced in 2016 was valued at the time at $400 million.
According to local media, The Edge, Khazanah currently holds 11% equity in EDOTCO Group, with its total shareholding rising to nearly 32% after acquiring INCJ’s stake.
Malaysian mobile network operator Axiata Group Bhd is the majority shareholder of EDOTCO Group with a 63% stake, while Malaysia’s public service pension fund Kumpulan Wang Persaraan holds a 5% stake, The Edge reported.
Khazanah, INCJ and EDOTCO Group did not respond to a Reuters request for comments.
The deal comes as INCJ, a Japanese state-backed fund, reaches the end of its investment mandate, which it entered in 2017, Khazanah said in a statement on Friday night.
“This transaction reflects the shared commitment of Malaysia and Japan to fostering strategic partnerships.
“It also reinforces Khazanah’s commitment to drive the domestic investment agenda in the digital infrastructure space, contributing to Malaysia’s economic growth,” it said.
Khazanah said it remains committed to EDOTCO’s growth and success, reaffirming confidence in its strong fundamentals and future potential.
(Reporting by Ashley Tang; Editing by Sam Holmes)
