FRIDAY, March 29, 2024
nationthailand

Jasmine able to finance 4G development

Jasmine able  to finance 4G development

JASMINE MOBILE Broadband, one the two winners of telecom licences on the 900-megahertz spectrum, yesterday dismissed scepticism of its financial ability to develop a fourth-generation cellular service, saying it had already secured strong commitments from

JASMINE MOBILE Broadband, one the two winners of telecom licences on the 900-megahertz spectrum, yesterday dismissed scepticism of its financial ability to develop a fourth-generation cellular service, saying it had already secured strong commitments from banks and equipment vendors.
“Now we have Bt100 billion on hand. We’ll roll out 15,000 base stations nationwide and cover 90 per cent of the population next year,” said Pete Bhodaramik, chief executive officer of Jasmine International (JAS), which wholly owns Jasmine Mobile Broadband.
Jasmine Mobile had called an urgent press conference to disclose its readiness to provide the service, citing its whopping Bt75.65-billion bid to win the auction last week.
The company has lined up Bt75 billion from a consortium of banks led by Bangkok Bank, while the equipment vendors led by China’s Huawei Technologies have extended Bt25 billion in financing for equipment procurement.
JAS has had a long relationship with Bangkok Bank and Huawei.
Jasmine Mobile will appoint Bualuang Securities as the financial adviser for its initial public offering next year. It plans to increase its capital to Bt5 billion from Bt350 million.
It is seeking a strategic partner to buy 25-30 per cent of its shares before listing on the Stock Exchange of Thailand.
Jasmine Mobile could acquire 2 million subscribers next year, enough to break even, Pete said. It will turn a profit in the third year when it is expected to reach 5 million subscribers. It is aiming to capture 10 million users of Advanced Info Service’s 2G network. It will not invest in its own 2G network, just on a 4G network. It will lease the 2G networks of state telecoms to provide 2G-900MHz service, he said. As for the possibility of AIS roaming on Jasmine Mobile’s 2G network, both AIS and JAS do business separately. JAS will not roam with its rivals but with TOT and CAT.
Jasmine Mobile might have to resort to a pricing strategy from time to time but will not subsidise handsets, Pete said.
It has reached a preliminary deal with CAT Telecom to lease 1,000 telecommunications towers to provide 4G wireless broadband service under its 900MHz licence.
 
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