On 5 September 2018, The Malaysian mobile telecommunications company announced that it has entered into an agreement for a term loan facility of RM1 billion to fund its various capital expenditure (CapEx) programmes, according to a recent report.
The company signed the agreement for the three-year RM1 billion term loan credit facility with United Overseas Bank (Malaysia) Bhd (UOB Malaysia).
The amount will go towards the company’s network expansion and enhancement goals across the country.
The company’s chief executive officer said that the mobile telecommunications provider was very pleased to be receiving support from UOB Malaysia. The RM1 billion credit facility agreement is one of the largest to be signed in this country to date and this reflects the bank’s vote of confidence in the company’s credit quality and business fundamentals.
The fresh injection also means the company will able to expedite its network strategy and customers will soon enjoy much better experience throughout the whole of Malaysia.
He added the agreement, apart from enabling the company to build a financial track record, affirms the company’s position as a credible challenger in the telco landscape.
The telecommunications company has demonstrated sustained growth by constantly challenging the status quo to bring the value and innovative services that customers desire.
Over the past few years, the company has enjoyed traction in the industry and its subscriber base crossed the six-million-mark at the end of last year.
This shows customers are responding well to the company’s offer and trust for the brand and products is increasing from strength to strength.
The firm is also rising popularity in Malaysia and enabled the telco to become Ebitda positive in the middle of last year, highlighting the company’s improving financial health.
As of 31 December 2018, the telecommunications company’s shareholders have made substantial investments amounting to over RM4 billion in the business. With the RM1 billion loan from the commercial bank, the company would be investing over RM5 billion in its network infrastructure, aggressively expanding its network footprint nationwide as well as enhancing customers’ mobile experience.
The investment will also accelerate the telco’s growth ambitions, reinforcing its position as a serious industry contender.
The network infrastructure upgrade is also a critical foundation for the company’s expanding suite of mobile digital services which spans from telco-assurance to payments.
In the past, the telco has created a variety of popular data plans, notably the data plan from June 2018, that allowed users to ‘go crazy’ on their apps without fear of rapidly depleting their data.
A report noted that the telco’s plan called ‘Giler Unlimited’ offered unlimited data for all apps on a smartphone at RM50 for the post-paid GX50 plan and RM30 for the prepaid GX30 plan.
While the GX50 plan offered unlimited data and 5GB of free hotspot quota as well as unlimited calls, the GX30 plan enabled users to enjoy unlimited data and 3GB of free hotspot quota.
Users were not restricted to when and how data is enjoyed, allowing them to stream music and videos, social messages and network, live stream and play mobile games anytime, any day.
Users can look forward to better data plans, customer service experiences and greater efficiency in service overall with the expansions that will be undertaken by the company and its partners.
