True Move H agrees back-rent deal with CAT
TRUE MOVE H Universal Communication of True Corp has agreed to pay CAT Telecom Bt9.3 billion in back rent for leasing CAT’s 850-megaherz network for third-generation cellular service.
Surapant Meknavin, acting president of CAT, said yesterday that the rent covered the period from 2013-15 when TUC leased about 17 per cent of the 850MHz network.
CAT and True have partnered to provide the 3G-850MHz service since 2011.
The payment will be made in two parts – Bt4.1 billion in cash within eight years and the remaining Bt5.2 billion in the form of 4G capacity on TUC’s 1,800MHz and 2.1-gigahertz networks. The company will allow CAT’s My brand 3G-850MHz mobile-phone subscribers to roam on its networks for 10 years.
The deal means CAT can offer 4G service to its customers and pay the remaining amount of the one-month bonus from last year to its staff.
CAT is expected to start roaming My customers on TUC’s 4G networks next quarter.
It plans to join with prospective marketing partners to provide the service in order to boost its customer base.
As of the first quarter of this year, My had about 1.4 million users, of whom 1.28 million were prepaid.
It forecasts reaching 2 million subscribers by year-end, generating Bt1.85 billion in revenue, up 50 per cent from Bt1.18 billion last year.
