PETALING JAYA: Affin Group and MBSB Bank Bhd have jointly committed RM3.8 billion in a syndicated facility to support Mawar Setia Sdn Bhd’s acquisition of a controlling stake of over 50% in U Mobile Sdn Bhd.
Under the syndicated arrangement, Affin Group has committed RM2.4 billion, while MBSB Bank has committed RM1.4 billion. Proceeds from the facility will part-finance Mawar Setia’s purchase of shares from Straits Mobile Investments Pte Ltd.
Mawar Setia is a Malaysian investment holding company founded by Tan Sri Vincent Tan Chee Yioun and Tunku Tun Aminah Sultan Ibrahim. The acquisition is expected to increase Malaysian ownership in U Mobile by reducing foreign shareholding and consolidating domestic participation in one of Malaysia’s key mobile and broadband operators, as the company advances its next phase of corporate development.
U Mobile has been appointed to deploy Malaysia’s second nationwide 5G network and continues to expand its ULTRA5G infrastructure through strategic technology partnerships with Huawei Technologies Co Ltd and ZTE Corporation of China. Recent milestones include delivering ULTRA5G coverage at Kuala Lumpur International Airport and launching a 24-hour ULTRA5G Tourist eSIM offering 100GB of data, reflecting continued progress in its network rollout.
Tan said: “Malaysia’s next phase of growth will be defined by execution – building digital infrastructure that is reliable, scalable and delivered on time. With this acquisition, Mawar Setia is increasing Malaysian participation in a strategic national asset and stepping up our responsibility to support U Mobile’s nationwide 5G deployment.
“Our focus is to strengthen governance and long-term funding support, so the management team can accelerate rollout and meet the coverage expectations set for the country’s second 5G network. We intend to back this with sustained investment discipline and operational focus as U Mobile advances its next stage of development. I am delighted to share that U Mobile has been progressing well and is ahead of deployment schedule.”
Affin Group president and group CEO Datuk Wan Razly Abdullah said: ““We are pleased to participate as the largest financier in this syndicated facility, with a RM2.4 billion commitment. This financing strengthens Malaysia’s long-term digital infrastructure capacity and supports U Mobile’s next phase of growth with deeper domestic participation. Aligned with the Affin Axelerate 2028 Plan, anchored on Unrivalled Customer Service, Digital Leadership, and Responsible Banking with Impact, we will continue to support the advancement of a secure and scalable digital ecosystem for the nation’s future.”
MBSB Bhd group CEO Rafe Haneef commented: “This financing supports a change in control at a pivotal point in U Mobile’s trajectory and Malaysia’s digital ambitions. MBSB’s RM1.4 billion commitment reflects our focus on transactions that expand digital connectivity, an enabling layer for productivity, competitiveness and inclusion across households, SMEs and industries.” – Bernama
