KUALA LUMPUR: Subsea telecommunications infrastructure provider OMS Group has secured US$1.03 billion (about RM4.4 billion) financing to fund its expansion, including the acquisition of four new fibre-optic cable-laying vessels.
This comprises US$911.5 million in corporate and trade facilities, as well as export credit agency-backed term loan facilities, with a further US$120 million in trade facilities pending financial close.
The export credit agency-backed facilities, supported by Atradius Dutch State Business NV and Export Finance Norway, will support the group’s investment in four modern, fuel-efficient vessels scheduled for delivery in 2027 and 2028.
The new vessels are expected to expand OMS Group’s cable-laying capacity as demand for subsea connectivity grows, driven by cloud computing, artificial intelligence and data centre development.
The financing attracted participation from regional and international banks, with both the corporate and export credit agency-backed facilities oversubscribed by more than two times, reflecting strong lender interest in the group’s expansion plans.
OMS Group chief executive officer Ronnie Lim said the financing will support the group’s long-term growth strategy and investment in its end-to-end digital infrastructure capabilities.
“With these four newbuild vessels, we aim to strengthen our cable-laying capacity and help customers build the networks that underpin global digital growth,” he said.
HSBC Singapore and Standard Chartered Bank acted as joint global coordinators, bookrunners and export credit agency coordinators, while KKR Capital Markets served as corporate adviser.
HSBC head of export finance for Asia Edward Hui said the financing would support OMS Group’s fleet expansion and investment in its digital infrastructure business, enabling it to meet evolving customer requirements.
Standard Chartered global head of transportation finance Abhishek Pandey said the transaction would support the group’s long-term investment plans amid the continued expansion of global digital infrastructure.
The financing was structured to meet the specific requirements of the subsea cable industry and support OMS Group’s expansion plans, while securing participation from a broad pool of lenders.