33 BILLION INVESTMENT >>>>>

Dialog to Invest Rs. 33 Billion (USD 300 Million) in Sri Lanka’s Telecommunications and Media Sectors Single Largest Investor with Total investment of over Rs 90 Billion Colombo, June 7th2007, Dialog Telekom – Sri Lanka’s largest mobile communications operator, and one of the largest infrastructure investors in Sri Lanka, announced on Thursday 7thJune, the signing of a landmark investment agreement with the Board of Investment of Sri Lanka (BoI) to invest a further Rs. 33 Billion (USD 300 Million) in the country’s Telecommunications and Media sectors within the next 2 years. The investment agreements were entered in to at a ceremony held under the distinguished patronage of the Hon Minister of Enterprise Development and Investment Promotion, Dr. Sarath Amunugama. The Investment agreements were signed by Chairman of Dialog Telekom Ltd (and Telekom Malaysia Bhd), Tan Sri Dato’ Ir Muhammad Radzi bin Haji Mansor and Chairman/Director General of the Board of Investment of Sri Lanka, Mr.Dhammika Perera. The investment will be targeted at large scale expansion of services across all regions of Sri Lanka. Associated infrastructure investments would include expansion of the company’s GSM and 3G mobile networks, introduction of state of the art Value Added Services and the establishment of Broadband transmission networks across the island based on Fibre Optic and Microwave transmission technologies. The Company will also make substantial investments in the provision of International Bandwidth to Sri Lanka’s ICT sector via the SeMeWe4 submarine cable. Dialog will also make investments in Customer Service and other support infrastructures with a view to expanding its network of support centres across Sri Lanka. A substantial portion of the total investment pledged by the Dialog Group will be directed at fixed line Telephony and Broadband services via Dialog Broadband Networks (Pvt) Ltd. (DBN), and Digital Television Broadcast services via Asset Media (Pvt) Ltd., respectively. The investments in DBN will be directed towards the growth of CDMA based Rural Fixed Telecommunications Infrastructure, Wi Max based wireless broadband infrastructure and for the deployment of a National Fibre Optic backbone. Investments in Asset Media will be targeted at expansion of its Digital Satellite TV services and for the deployment of Terrestrial Digital Video Broadcasting (DVB) infrastructure in Sri Lanka. Expressing his thoughts on the investment, Tan Sri Dato’ Ir Muhammad Radzi said “This investment brings Dialog’s total commitment to the Telco sector in Sri Lanka to over USD 800 Million, and emphasizes our commitment to, and confidence in, the Sri Lankan market. We are grateful to the investor friendly policies of the Sri Lankan Government, and consider Sri Lanka to be one of our most compelling success stories outside Malaysia. As South Asia’s first quadruple player, Dialog Telekom has already delivered impressive results, and with this additional investment we intend to fulfill our objective of playing an even bigger role in not just the country’s telecommunication landscape, but also in terms of the delivery of state of the art ICT (Information and Communications Technology) and Digital TV services”.
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Dialog GSM has spearheaded the mobile industry in Sri Lanka since the late 90's propelling it to a level of technology on par with the developed world. Dialog GSM is the country's largest cellular network providing services to over 3.5Mn customers across all provinces of the island, accounting for approx 60% share of the countries mobile sector and 45% of total telecommunications subscribers. The Company has also established itself as the largest Company on the Colombo Stock Exchange in terms of Market Capitalisation. Dialog Chief Executive Dr. Hans Wijayasuriya said “Today, Dialog Telekom reiterates and reinforces its commitment to the Sri Lankan consumer. We will focus on developing Sri Lanka’s ICT infrastructure spanning Mobile and Fixed Telecommunications, Broadband and Digital Television services to world class standards. We are continuously encouraged by our customers and we are confident that we will be able, as in the past, to deliver substantial social dividends to consumers and communities across Sri Lanka, and healthy returns to the shareholding public. Dialog is particularly proud of its capacity to implement and deliver on its promises - we fulfilled the investment commitments we made in 2006, one year ahead of schedule, and we foresee similar progress in relation to the investments we have pledged today. This has been made possible through the dedication and commitment of the Dialog Team, the consistent support of our principal investor Telekom Malaysia Bhd., and the encouragement and guidance of the TRCSL and other agencies of the Government of Sri Lanka for which we are extremely grateful.”