KUALA LUMPUR: Main Market-bound Hi Mobility Bhd is setting its sights on expansion in the Klang Valley while exploring potential opportunities in Sabah and Sarawak as part of its strategic growth plans.
The cross-border transport service provider is positioning itself to tap into the increasing demand for efficient and seamless public transport solutions.
Its executive director and CEO, Lim Chern Chuen, highlighted the company’s commitment to enhancing its footprint in key urban centres.
“The company aims to leverage its experience in operating cross-border bus services between Malaysia and Singapore to improve connectivity within Malaysia’s major cities. Klang Valley remains a primary focus due to its high commuter volume and growing public transport infrastructure.
“The Klang Valley presents significant opportunities for us to expand our services and enhance mobility solutions for daily commuters. We are also assessing the potential for expanding into East Malaysia, where transport connectivity improvements are needed,” he told reporters in a press conference following its initial public offering prospectus launch recently.
While no specific timeline was mentioned, Lim said Hi Mobility is actively studying market conditions and regulatory requirements before making its next move.
Aside from geographical expansion, he said Hi Mobility is investing in technology to improve efficiency and the commuter experience.
“We are exploring artificial intelligence and digitalisation to enhance fleet management, scheduling, and customer service. These technological advancements are expected to streamline operations and ensure higher reliability for passengers.”
Lim also addressed the potential impact of the upcoming Johor Bahru-Singapore Rapid Transit System Link (RTS Link) on the company’s cross-border bus operations. “The RTS Link will not directly compete with its services but rather complement existing transport options, offering commuters more flexibility in their daily travel.”
Lim said Hi Mobility is also looking at enhancing its electric bus operations, which have gained traction as an efficient and environmentally friendly mode of transport. The company sees electric buses as a crucial component of its long-term strategy, aiming to reduce carbon emissions and improve public transport efficiency.
Hi Mobility, en route to a listing on Bursa Malaysia’s Main Market on March 28, aims to raise RM115.9 million through its IPO, which entails a public issue of 95 million new shares at RM1.22 per share, along with an offer for sale of 35 million existing shares.
According to the prospectus, RM70 million (60.4%) of the proceeds will be allocated for its bus fleet expansion, including the acquisition of electric and internal combustion engine buses. Some RM15 million (12.9%) is earmarked for expanding electric vehicle charging infrastructure, with installations planned for various depots and routes.
In line with Hi Mobility’s technological enhancement strategy, RM5 million (4.4%) of the proceeds will be invested in hardware upgrades, integrating artificial intelligence to improve vehicle monitoring and driver management, among other initiatives.
The remaining RM25 million (22.3%) is intended for working capital and defraying listing expenses, according to the prospectus.
