Will conditions derail high speed wireless deal?

Time dotCom delayed concluding the sale of its high speed wireless airwaves to Digi.Com, Malaysia's third-biggest mobile-phone operator, after regulators imposed conditions for the deal.

Time has written to the Malaysian Communications and Multimedia Commission to seek clarification on conditions imposed in the regulator's letter approving the transfer of the so-called 3G spectrum to Digi, the company said in a filing to the stock exchange in Kuala Lumpur.

Digi has “agreed to an extension of time of up to April 11 to accept the conditional approval of the” Commission, the mobile phone network operator said in a separate filing.

Digi, Malaysia's only wireless operator without a permit to sell third-generation wireless services, agreed in November to pay Time dotcom 654.5 million ringgit ($206 million) in new shares in return for the spectrum. As part of the agreement, Digi was to buy phone-network capacity from unprofitable Time, sell the company's products and train its workers.

Time can't yet confirm if it will be able to accept the conditions, it said. They include a penalty for failing to comply with the detailed business plan that is part of the sale.

How many conditions will the companies be willing to accept in order to make the deal work?