CAT board approves JV with DTAC on cellular network
CAT Telecom's board on Monday approved a 49:51 joint venture with Total Access Communication (DTAC) for managing the latter's transmission network, to end a legal dispute over the ownership of the network under DTAC's concession from CAT, valued at more t
DTAC would hold the majority 51 per cent in the JV.
Sanpachai Huvanandana, acting chief executive officer of CAT, said DTAC would be required to inject cash into Tower and Fibre Joint Venture Co, according to the proportion of its shareholding, and transfer its network to this JV. Then DTAC could continue using the network until its concession ends in 2018 without having to pay any rent.
DTAC yesterday declined to comment on this matter.
CAT and DTAC have been engaged in a legal battle over 10,419 telecom towers under the concession. One of the main disputes is the company’s refusal to transfer the network under the concession to CAT.
The other case is at the Administrative Court. Last October 15, CAT petitioned the Central Administrative Court to grant an injunction against further installation or connection by DTAC, or any third-generation cellular operators authorised by DTAC, of 2.1-gigahertz equipment to telecom equipment comprising the base transceiver station.
CAT claimed that it held title to all such telecom equipment.
On May 21, DTAC received an order from the court to cease such installation or connection and appealed to the Supreme Administrative Court.
Sanpachai said the court’s ruling in favour of CAT on May 21 had given the agency bargaining power in setting up the JV with DTAC.
