ST Telemedia sells majority stake in Malaysian telecom firm U Mobile
Logo of U Mobile, Malaysian mobile carrier, is displayed at
a monorail station in Kuala Lumpur, Malaysia, September 26,
2022. REUTERS/Hasnoor Hussain/File Photo
Purchase Licensing Rights
Dec 5 (Reuters) - Singapore Technologies Telemedia said on Wednesday
Malaysia's Mawar Setia will acquire a majority stake in the
company's U Mobile
(IPO-UMOB.KL)
unit, a mobile and broadband service provider in Malaysia.
Under a conditional share purchase deal, Mawar Setia will acquire
the stake in U Mobile from Straits Mobile Investments, a unit of ST
Telemedia, the Singapore-based firm said in a statement.
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Straits Mobile will hold a 20% stake following completion of the
deal. Other financial details of the deal were not disclosed by ST
Telemedia, which is owned by Singapore state investor Temasek.
Mawar Setia is a private company in Malaysia, according to the
statement, which did not provide further details on the company.
Singapore Technologies Telemedia (ST Telemedia) was not immediately
available for comment.
Founded in 2006, U Mobile is Malaysia's youngest telecommunication
company with a network ready for 5G, according to its websites.
Earlier this year, Reuters reported citing sources that U Mobile is
planning a domestic initial public offering (IPO) that is expected
to raise more than $500 million as early as the first half of 2025.
ST Telemedia, whose businesses include data centres and
infrastructure technology, said U Mobile will cease to be a
subsidiary of the company following the completion of the deal with
Mawar Setia.
Reporting by John Biju in Bengaluru; Editing by Saumyadeb Chakrabarty
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