CelcomDigi Bhd’s wholly-owned subsidiary, CelcomDigi Mobile Sdn Bhd, plans to defend claims filed by IMMA Technology Sdn Bhd over an alleged breach of a services agreement signed in March 2022.
In a filing with Bursa Malaysia, CelcomDigi said it had received a notice of arbitration from IMMA, which is seeking RM72.59 million in alleged loss of profits or RM28.3 million in wasted expenditure.
The services agreement pertains to credit advance services with CelcomDigi.
According to the filing, the payment terms in the agreement were based on a revenue-sharing arrangement that will take effect upon the launch of the service, and no upfront costs were required to be paid to IMMA.
It also said the launch of the service was postponed in anticipation of the Celcom-Digi merger, following which a new request for proposal was issued in November 2023 to cover the merged subscriber base.
The filing said IMMA did not participate in the new tender process despite being invited to do so.
CelcomDigi said the arbitration was not expected to have any material impact on its operations or net assets per share for the financial year ending Dec 31, 2025.
