Robi Axiata Ltd has merged with Airtel, securing its position as the second-largest telecom operator in Bangladesh. The new entity boasts 3.22 crore subscribers and a 10% cash dividend for shareholders. With a record-breaking revenue in 2023, the merger is set to amplify the nation's telecom infrastructure.
In a strategic move that reverberates through the telecommunications landscape of Bangladesh, Robi Axiata Ltd has solidified its position as a formidable contender by completing a landmark merger with Airtel. This pivotal development catapults the combined entity into the rank of the second-largest operator in the nation, boasting a robust subscriber base of approximately 3.22 crore. Under the new moniker, Robi Axiata Limited, with Axiata commanding a 68.7 percent controlling interest, the company has not only set a new precedent in the telecom sector but has also announced a generous 10% cash dividend for its shareholders. Coupled with a record-breaking revenue for the year 2023, this merger is poised to significantly amplify the telecom infrastructure and contribute to the economic fabric of Bangladesh.
Robi Axiata Limited's financial health in 2023 paints a picture of a company on an upward trajectory. The July-September quarter of the year saw a staggering 122% increase in net profit, with figures touching Tk86.45 crore. This period also witnessed a notable rise in revenue by 7.82%, amounting to Tk2,085 crore. Extending this growth narrative, the January-September timeframe of 2023 showcased an 8% revenue growth, reaching Tk6,096.83 crore with a net profit of Tk167.38 crore. Such financial milestones underscore the company's robust operational efficiencies and strategic market positioning post-merger.
Despite facing a slight dip in subscriber numbers in the third quarter, Robi's resilience in the competitive telecom sector is noteworthy. The company reported a subscriber base of 5 crore 44 lakh, including 4 crore 11 lakh data subscribers, marking a year-on-year increase of 4.8%. This growth is further accentuated by the company's expansive 4G network, which covers 98.2% of the population and boasts 2 crore 76 lakh 4G subscribers. Such strategic expansions have not only enhanced Robi's market share but have also significantly improved the data and voice quality for its subscribers, by 130% and 50% respectively in 2023.
The announcement of a 10% cash dividend following a board meeting on February 15, 2023, exemplifies Robi Axiata Limited's commitment to delivering value to its shareholders. The operator's move to reward its investors aligns with its record-setting revenue in 2023 and the addition of the highest number of subscribers in a single year, with 43 lakh individuals joining the network. The Managing Director and CEO, Rajeev Sethi, has emphasized the need for regulatory reforms to expedite contributions towards the Smart Bangladesh vision, highlighting the company's forward-looking agenda and its pivotal role in shaping the telecom landscape.
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In conclusion, the merger of Robi Axiata Ltd with Airtel, culminating in the creation of a telecom giant, signifies a remarkable chapter in the evolution of Bangladesh's telecommunications sector. With a substantial increase in subscribers, groundbreaking revenue figures, and a significant net profit growth, Robi Axiata Limited is not just navigating the telecom waters with finesse but is also setting a precedent for operational excellence and shareholder value. As the company steers forward, its contributions to the Smart Bangladesh vision are eagerly anticipated, promising a future of connectivity and innovation for millions.