International Finance
Telecom

U Mobile’s $500 mn IPO timing depends on market conditions

U Mobile IPO
The Malaysian telco aims to list its shares on the stock exchange by the end of 2020

Malaysia-based telecommunications service provider U Mobile is planning to raise around $500 million in its IPO, according to media reports.

The company aims to list its share on the stock exchange by the end of 2020 and is expected to hire advisers very soon. Reportedly, U Mobile has also asked banks for proposals with regard to its IPO.

According to Wong Heang Tuck, chief executive officer at U Mobile, the telco is in the process of planning an IPO and is aiming to sell its shares on the stock exchange by the end of 2020. However, he stressed that the exact timing would depend on the prevailing market conditions.

U Mobile, which is the fourth-largest mobile operator in Malaysia, has a market share of 16 percent behind the likes of Celcom, DiGi.com, and Maxis, according to a report published by the Malaysian Communications and Multimedia Commission in 2018.

Recently, U Mobile also announced that it has entered into a partnership with Ericsson to develop its 5G infrastructure in Malaysia. The partnership is expected to boost U Mobile’s plan to launch 5G services in Malaysia by 2020. According to the partnership agreement, Ericsson will also assist U Mobile roll out 5G trials next year.

During the same period, U Mobile’s ewallet GoPayz and Boost signed an agreement with UnionPay International (UPI) to offer greater and ease and convenience of payment to its customers. Now, GoPayz users will be able to carry out both domestic and international transactions with the help of the new UnionPay Virtual Card available on the app.

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