HI Mobility: Driving the Future of Cross-Border Transportation with a Green Focus

IPO and Expansion Plans: A New Chapter for HI Mobility

HI Mobility, a prominent player in Malaysia’s transportation sector, is poised to embark on an exciting new chapter in its journey. Controlled by Malaysian oil and gas tycoon Lim Han Weng, the company is raising 115.9 million ringgit ($26.3 million) through an initial public offering (IPO). This move is part of a broader strategy to modernize its fleet and capitalize on the growing demand for efficient and sustainable transportation solutions.

Under the IPO, HI Mobility is issuing 95 million new shares at 1.22 ringgit each, which represents about 19% of the company’s enlarged issued shares. This valuation places the company at a significant 610 million ringgit, signaling strong investor confidence in its growth potential. The funds raised will primarily be used to expand its fleet, with plans to purchase 55 new buses, including 10 electric vehicles (EVs). Additionally, the proceeds will support the development of electric vehicle (EV) charging infrastructure, a critical step in transitioning to greener transportation options.

The company’s shares are set to begin trading on the Malaysian bourse on March 28, marking a milestone in its mission to enhance its services and contribute to the region’s sustainable development.

A Strategic Position in Cross-Border Transportation

What truly sets HI Mobility apart from other bus service operators in Malaysia is its unique role as the sole provider of the Johor Bahru-Singapore cross-border bus service. This route is one of the busiest in the world, with over 300,000 people passing through the Johor-Singapore causeway daily. As a key link between Malaysia and Singapore, this service underscores HI Mobility’s critical role in fostering connectivity and economic activity in the region.

Lim Chern Chuen, Executive Director and CEO of HI Mobility, emphasized the company’s strategic position, stating, “What sets us apart from other bus service operators in Malaysia is that we also provide the Johor Bahru-Singapore cross-border bus service.” This strategic advantage is further bolstered by the ongoing development of Johor as a special economic zone, a joint initiative by Malaysia and Singapore to boost economic activity in the region.

“Connectivity and mobility are key enablers of economic development, which HI Mobility has been providing based on its 23-year operating track record,” noted Michael Oh-Lau, CEO of Maybank Investment, the sole underwriter of HI Mobility’s IPO. The company’s extensive experience and strong market presence make it well-positioned to benefit from the region’s growth and increased cross-border traffic.

A Growing Fleet and Commitment to Sustainability

HI Mobility currently operates an impressive fleet of over 550 buses, serving three million commuters every month across key locations such as Melaka and the Klang Valley. This extensive network highlights the company’s significant role in meeting the transportation needs of millions in Malaysia.

The addition of 55 new buses, including 10 electric vehicles, is a bold step toward a more sustainable future. The integration of EVs into its fleet aligns with global trends toward reducing carbon emissions and promoting eco-friendly transportation solutions. Furthermore, the development of EV charging infrastructure will not only support HI Mobility’s own operations but also contribute to the broader adoption of electric vehicles in the region.

A Strong Financial Foundation for Future Growth

HI Mobility’s financial performance has been impressive, with a 73% increase in net profit to 34.6 million ringgit in 2024, as detailed in its IPO prospectus. This strong financial foundation provides a solid platform for the company’s expansion plans and its transition to greener technologies.

The company’s success is also reflected in its long-standing reputation and operational efficiency. With 23 years of experience, HI Mobility has built a dependable and reliable service that commuters trust. By continuously modernizing its fleet and services, the company aims to maintain its competitive edge in an evolving market.

A Visionary Leadership and Diversified Business Portfolio

HI Mobility is part of a diverse business empire controlled by Lim Han Weng, a Malaysian industrialist with a proven track record in growing successful companies. This will be the third publicly listed company under his leadership, following in the footsteps of Yinson Holdings and ICON Offshore, both major players in the oil and gas sector.

Lim Han Weng and his wife, Bah Kim Lian, co-founded Yinson Holdings in 1984 as a small transport and trading business. Over the years, it has grown into one of the world’s largest oil and gas service providers, with recent diversification into renewable energy. The company now operates solar plants in India and Peru, showcasing its commitment to sustainability and innovation.

The Lim family’s success is further highlighted by their inclusion in Forbes Asia’s list of Malaysia’s richest, ranking 45th with a net worth of $405 million as of April last year. Their entrepreneurial vision and leadership have not only shaped HI Mobility’s growth but also contributed significantly to Malaysia’s economic development.

Conclusion: A Bright Future Ahead

With its IPO, HI Mobility is not only raising capital but also raising the bar for sustainable and efficient transportation in Malaysia and beyond. By expanding its fleet with electric buses and building EV infrastructure, the company is positioning itself as a leader in the region’s green mobility landscape.

The Johor-Singapore causeway, as the world’s busiest land border, presents immense opportunities for HI Mobility to grow its cross-border services and capitalize on increasing economic activity. With a strong financial foundation, visionary leadership, and a clear commitment to sustainability, HI Mobility is set to play a key role in driving the future of transportation in Southeast Asia.

As the company prepares to begin trading on March 28, investors and commuters alike can look forward to a bright and innovative future with HI Mobility at the helm.