TM & MiTV

RHB Research doesn't expect "material earnings enhancement" from Telekom's domestic roaming agreement with MiTV, so keeps on Market Perform call. Notes that no roaming charges are disclosed, but believes the negotiated rate between the two "may prove noncompetitive" to unlisted operator MiTV. Doesn't expect MiTV to be credible new telco entrant as it doesn't have proven track record and is up against sector's strong, entrenched players. Keeps fair value at MYR11.57 on FY08 19.2X P/E. Shares down 1% at MYR10.20.