Maxis streamlining plan well-received by analysts

"We view the streamlining of its organisation structure around its key businesses and functions as positive over the medium-term as it enables the group to be more focused and responsive on its delivery and customer services," said PublicInvest Research in its report this morning.

In the evening announcement yesterday, Maxis said that the new structure will allow the company to be more agile and cohesive in delivering its integrated propositions across its wide range of products and services, as well as support the company's growth strategies.

"Maxis has seen its subscriber market share eroded away by its competitors, and we therefore view such efforts to regain competitiveness as positive. These efforts will hopefully translate into better operational performance and revenue growth going forward," said RHB Research Institute Sdn Bhd.

Maxis, which initially expected ex-DiGi.Com Bhd chief executive officer (CEO) Johan Dennelind to lead the company, is currently in a lookout for a new CEO after Dennelind turned down the job few weeks ago.

While the hunt for CEO is on-going, Maxis, under the new structure, will consist of a team led by both of its joint chief operating officers, namely Nasution Mohamed and Suren J. Amarasekera.

PublicInvest Research pointed out that there may be negative impact on the mobile operator in the short-term.

"There may be short-term uneasiness among its staff and potential disruption in its business processes during the transition to the new structure," said the research house.

Maxis share price was up by 1 sen (0.15 per cent) higher during the early trade (10:48am), with more than 200,000 shares changed hands.