Maxis is now looking at the possibility of acquiring U Mobile to increase its market share exponentially. The deal, however, is at a nascent stage with several hurdles along the way. For starters, the acquisition cost is sky-high. For example, according to Bloomberg, U Mobile is valued at over RM10 billion as it commands 9 million subscribers with 95% 4G population coverage.
U Mobile likely to have rejected the Maxis offer One of the large shareholders, a prominent businessman Vincent Tan tells Bloomberg that U Mobile has rejected the offer of Maxis. Instead, U Mobile now plans to submit an initial public offering at the end of this month. This IPO offering had been working for years but had yet to be taken off.
That said, U Mobile now aims for Malaysia’s second 5G network. And so, while the market speculates, U Mobile readies for the second 5G network tender. Furthermore, U Mobile has entered into a strategic collaboration with multiple Network Facility Providers (NFPs). These NFPs are Bullish Aim, EdgePoint Towers, Naza Communications, OCK Group, and Edotco.
In this deal, U Mobile coupled with Huawei on the 5G-for-Business segment this year. It also went further into 5G Advanced technologies with the deal and others with ZTE and CelcomDigi. All these strategic moves by U Mobile pinpoint its determination to lead in the 5G landscape in Malaysia.
