OMS Malaysia invests $300 million in cable systems

OMS, a Malaysian cable construction company, has allocated $300 million to invest in new cable systems and expand its core business.

This private company stated that there is an urgent need to expand our infrastructure due to the significant increase in demand for data centers and cloud, as well as the high utilization rate of existing cables.

In a statement, the company stated that it will collaborate with telecommunications companies and utilize its’ long-term investment capital to help them transform capital expenditures into sustainable operating expenses’.

The investment includes obtaining direct ownership of the submarine cable system and developing the return infrastructure from the Cable Landing Station (CLS) to the data center.

OMS did not provide details on the funding source and did not respond to Light Reading’s inquiries.

But in the past 11 months, the company has announced two major deals – a $400 million investment from private equity giant KKR in October last year, and a $293 million debt financing announced in June this year to expand its fleet and develop its underwater expertise.

OMS CEO Ronnie Lim stated that the company’s goal is to become a one-stop shop for submarine cables, cable landing stations, and ground networks, with a focus on the ASEAN region.