U Mobile has appointed CIMB as its Loan Coordinator and Mandated Lead Arranger to secure financing of up to RM4.0 billion for its 5G network infrastructure. This was formalized at a signing ceremony at U Mobile’s office in Berjaya Times Square. The funds will support U Mobile’s capital expenditure (CAPEX) for its Next Gen 5G rollout, aiming for 80% coverage of populated areas (COPA) by July 2026.
“U Mobile is pleased to deepen our partnership with CIMB through this significant arrangement. CIMB shares our commitment to driving Malaysia’s digital economy forward through connectivity and innovation,” said Wong Heang Tuck, Chief Executive Officer of U Mobile. “Partnering with a strong financial institution like CIMB demonstrates our ability in executing our capex programme efficiently. Their confidence in our financial discipline and growth trajectory reinforces our ability to deliver an enterprise-grade 5G network that is fast, scalable, and impactful for both businesses and consumers,” he added.
Chu Kok Wei, CEO of Group Wholesale Banking, CIMB Group said, “CIMB is pleased to partner with U Mobile on this strategic initiative to accelerate 5G coverage across Malaysia. This next-generation network will be a key catalyst not only in boosting social connectivity and economic inclusion across Malaysia, but positions Malaysia as a key enabler of ASEAN’s digital economy. As a key financial institution in Malaysia and the region, we are grateful for the opportunity to continue leveraging our financial expertise, entrenched experience and strong business networks to spur U Mobile’s growth in its national ambitions and Malaysia’s broader digital transformation.”
The agreement was signed by Wong Heang Tuck and Chu Kok Wei, and witnessed by Sandy Tsang, Chief Financial Officer of U Mobile, and Denise Wong, Head of Corporate and Public Sector Coverage at CIMB.
CIMB plans to finance at least RM1.5 billion, with the rest syndicated among other institutions. This highlights U Mobile’s growth as Malaysia’s newest 5G network provider, promoting digital connectivity and innovation.