KUALA LUMPUR (Jan 31): Shares of Axiata Group Bhd fell to the lowest since Oct 4, 2011 on concerns about regulatory approvals for its outdoor structures and regional risks.
At 11.42am, it was down 8.0 sen to RM4.67. There were 13.06 million shares done at prices ranging from RM4.65 to RM4.76.
On Monday, Axiata said it received another two-year extension from the Securities Commission (SC) to get the local authorities’ approval for its outdoor structures.
The SC gave it until Jan 29, 2014 to get the approvals for the outdoor structures, which were part of the conditions for its listing on Bursa Malaysia.
To recap, on Feb 22, 2010, the SC had given Axiata two years up to Jan 29, 2012.
As at Dec 19, 2011, Axiata said 22 outdoor structures were pending approval from local authorities.
It also said applications for 27 outdoor structures were declined and the Celcom Group was appealing to the relevant local authorities.
Meanwhile, RHB Research Institute maintained its Market Perform call with unchanged sum-of-parts fair value of RM5.15 on Axiata for now due to limited upside to Axiata’s regional growth prospects and lingering regional regulatory risks.
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