KUALA LUMPUR: HI Mobility Bhd’s collaboration with China’s Global Sustainable Transport Innovation and Knowledge Centre (GSTIKC) could accelerate its transformation into an integrated smart mobility solutions provider, Apex Securities Bhd said.
The research firm said the memorandum of understanding (MoU) would give HI Mobility access to Chinese transport technology companies specialising in autonomous vehicles, artificial intelligence (AI), robotics and automation.
“We view the MoU positively as it reinforces HI Mobility’s ambition to evolve from a conventional bus operator into an integrated smart mobility solutions provider,” it said in a note.
HI Mobility, through its wholly-owned subsidiary Handal Indah Sdn Bhd, entered into the MoU with GSTIKC, an institution affiliated with China’s Transport Ministry.
The agreement establishes a framework for cooperation in autonomous vehicles, AI, robotics, automation, new energy vehicles, low-altitude technologies, electric vehicle charging optimisation, mobility-as-a-service and rail maintenance, repair and overhaul.
The MoU has an initial term of five years and will automatically renew for another five years unless either party provides written notice of non-renewal at least three months before its expiry.
Apex Securities said the partnership could improve operational efficiency across HI Mobility’s bus operations and commercial vehicle businesses through the adoption of relevant technologies.
Potential applications include automation at bus depots, workshops and vehicle inspection facilities, as well as autonomous and robotic solutions for first- and last-mile transportation.
“The inclusion of low-altitude technologies and cross-border passenger mobility also broadens the group’s potential areas of collaboration, with the latter complementing HI Mobility’s existing Causeway Link operations.
“Malaysia’s positioning as an incubation and testing hub could strengthen the group’s role in the development and adoption of smart mobility standards, potentially facilitating further engagement with relevant authorities and industry stakeholders,” it added.
Apex Securities said the pace of commercialisation would depend on the outcomes of pilot projects and subsequent definitive agreements, with timelines yet to be disclosed.
The research house maintained its “Buy” recommendation on HI Mobility with an unchanged target price of RM2.38, while keeping its core net profit forecasts for financial years 2027 to 2029 intact.