- Edotco, a Malaysian infrastructure subsidiary of Axiata Group, has been focusing its efforts on the less regulated multi-purpose 5G-ready pole business in Sri Lanka.
- The company has already built over 700 of these pole sites in Sri Lanka and secured a 1.3x tenancy ratio, which is a key performance indicator used by tower companies to measure the level of infrastructure sharing on their assets.
- The new legislation in Sri Lanka has opened up the market, making it an attractive opportunity for Edotco and other players to expand their operations in the country.
Sri Lanka’s Telecommunications Regulatory Commission Act could permit third parties to construct macro telecom sites, with the amendment set to be tabled today. Currently, the country has around 7,000 mobile towers, which can only be built by telcos in partnership with government parties.
Focusing on less regulated opportunities
Edotco, a Malaysian infrastructure subsidiary of Axiata Group, has been focusing its efforts on the less regulated multi-purpose 5G-ready pole business in Sri Lanka, according to an industry expert familiar with the matter.
Rapid site deployment and infrastructure sharing
The company has already built over 700 of these pole sites in Sri Lanka and secured a 1.3x tenancy ratio, which is a key performance indicator used by tower companies to measure the level of infrastructure sharing on their assets. Infrastructure sharing is already a common practice in Sri Lanka, with a 1.7x tenancy ratio across the nation’s 7,000 towers.
Also read: HGC: Bringing cybersecurity assurance to Hong Kong’s telecommunications industry
Also read: How does 5G technology enhance the Internet of things (IoT)?
Favourable regulatory changes
The new legislation in Sri Lanka has opened up the market, making it an attractive opportunity for Edotco and other players to expand their operations in the country. On average, 300 new sites are constructed in Sri Lanka annually, providing organic growth potential for tower companies looking to establish or grow their presence.
Addressing financial challenges
However, budget cuts following Sri Lanka’s financial crisis have slowed the pace of new tower builds. The legislative amendment is aimed at addressing this issue by allowing third-party providers to construct towers, opening up additional opportunities for Edotco and others
