Malaysian telecommunications and digital conglomerate Axiata Group on Friday announced it will sell 80 percent of its stakes in Ncell to Spectrlite UK.

According to Reuters, Axiata will sell stakes in Ncell, its mobile service unit in Nepal, for a fixed consideration of US$50 million.

The terms of the deal also include a conditional consideration of a share of distributions based on the future business performance and net distributions declared by Ncell until 2029, reports Reuters.

Axiata had acquired the controlling stake in Ncell in 2016 following the purchase of Reynolds Holding for US$1.37 billion.

"The group's decision to withdraw from Nepal is based on a thorough evaluation of the prevailing business environment in Nepal," Axiata said in a statement.

Continuing operations under the "current conditions of unfair taxation and regulatory uncertainties" were no longer sustainable for the company, the company added.