Malaysia’s OMS Invests $300 Million In Cable Systems

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

The privately held company said the significant growth in demand for data centers and clouds, as well as high utilization of existing cables, “urgently requires the expansion of our infrastructure.”

In a statement, the company said it will work with telcos and utilize its “long-term investment capital to help them transform capital expenditures into sustainable operating expenditures.”

Investments include taking direct ownership of submarine cable systems and developing backhaul infrastructure from cable landing stations (CLS) to data centers.

OMS did not provide details of the source of funding 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 facility announced in June this year to expand its fleet and develop its subsea expertise.

OMS CEO Ronnie Lim said the company aims to become a one-stop store for submarine cables, cable landing stations and terrestrial networks, with a focus on the ASEAN region.