U Mobile Sdn Bhd has signed a memorandum of understanding (MoU) with CIMB to secure financial support for its upcoming 5G network rollout. This partnership builds on previous collaborations between the two entities, where the bank previously facilitated a financial facility of RM1.2 billion to the telco back in 2021, which was later upsized to RM1.4 billion two years after.
U Mobile CEO Wong Heang Tuck acknowledged CIMB’s long-standing support, highlighting its alignment with the government’s goal of achieving high-income nation status through digitalisation. “We believe CIMB’s financial backing will further strengthen U Mobile’s ability to ensure a rapid and cost-efficient second 5G network rollout that will bring benefits to enterprises, consumers, and the public sector,” he stated.
The MoU follows U Mobile’s recent appointment by the Malaysian Communications and Multimedia Commission (MCMC) as the country’s second 5G network provider. The appointment solidifies the telco’s role in advancing Malaysia’s digital infrastructure, despite scrutiny over the company’s financial capacity and readiness to undertake such a significant endeavour.
Details of the latest financial support have not been disclosed. Nevertheless, U Mobile and CIMB remain optimistic that their collaboration will drive innovation and economic growth in Malaysia through the upcoming 5G network rollout.
(Source: U Mobille press release)
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