U Mobile To Roll Out 5G In 15-18 Months, IPO By End Of 2025 – Vincent Tan

KLANG, Jan 17 (Bernama) -- U Mobile Sdn Bhd, Malaysia’s second 5G network operator, plans to roll out its second 5G network within the next 15 to 18 months, according to chairman Tan Sri Vincent Tan.

He further clarified that the company would not require any government funding or new local partners to facilitate the rollout.

“Not a single sen of government money is involved. We don’t need other partners, as some local media reported, suggesting that we need additional partners because we lack funds. That’s their opinion,” he told reporters following a visit to Pulau Ketam today.

“The banks have plenty of money. If I don’t have funds, the banks do. Hopefully, we will roll out in 15 to 18 months, and it’s likely to happen,” he added.

Tan noted that the company is considering Chinese suppliers Huawei Technologies Co Ltd and ZTE Corp, as they offer the most advanced technology.

“There’s no need for new local partners. We already have plenty of partners and investors. Huawei and ZTE are simply suppliers; they may provide some financing,” he explained. 

“We are also using our own capital, and the banks are willing to lend us money. So, nothing is finalised yet; negotiations are still ongoing,” he added.

On January 10, RHB Investment Bank Bhd reported that U Mobile is likely to enter network collaborations to offset 5G capital expenditure (capex) estimated at RM3 billion to RM4 billion, following its selection as the second 5G network access provider.

In a research note, RHB stated that sharing network infrastructure would accelerate site deployments, enabling faster population coverage.

“While U Mobile has yet to reveal its rollout plans, industry sources suggest it could deploy 5,000 to 7,000 5G sites nationwide, either by upgrading existing 4G sites or constructing new ones,” the note read.

Following the selection, U Mobile’s founding investor and major shareholder, Singapore Technologies Telemedia, linked to Singapore’s state-owned Temasek Holdings (Private) Ltd, sold its stake to a local entity controlled by Tan, U Mobile’s other key shareholder.

In July 2024, U Mobile signed memoranda of understanding with four network infrastructure providers – Bullish Aim, OCK Group, Edgepoint Towers, and Naza Communications – to support site deployments.

Meanwhile, Tan aims to list the mobile network operator on Bursa Malaysia by the end of 2025 and is actively working on its initial public offering (IPO).

“The U Mobile IPO is highly likely. We hope to submit it in the next few months and be listed by the end of 2025. The IPO size is still under discussion, and it’s too early to provide details,” he said.

-- BERNAMA