KUALA LUMPUR: Southern Cable Group Bhd has bagged a RM44.8 million letter of award (LOA) from Telekom Malaysia Bhd (TM) to supply battery systems to support the country's 5G network infrastructure rollout.
The LOA was awarded by TM's wholly-owned TM Technology Services Sdn Bhd to Southern Cable Sdn Bhd.
As part of the contract, Southern Cable is to supply, deliver, install, test and commission battery systems including associated engineering services and accessories to TM's regional hubs in Peninsular Malaysia, Sabah and Sarawak.
In a statement, Southern Cable said the supply contract would start in May 2023 and to be fulfilled until May 2026.
Previously, Southern Cable had an ongoing contract worth RM30.4 million with TM from September 2021 to supply, deliver, install, test and commission rectifier systems including associated engineering services and accessories for the 5G rollout.
Managing director Tung Eng Hai said as the country was accelerating the 5G network rollout, ensuring seamless operations and reliable connectivity was of the essence.
"We are seeing a good flow of cable and wire orders from our customers and have been ramping up our production to ensure timely delivery. Barring unforeseen circumstances, we are optimistic of our performance for the financial year ending Dec 31 2023," he said.
The latest battery system contract brings Southern Cable's year-to-date contact wins to over RM160 million.
This also includes two power cable supply contracts from a power utility company.
The company's orders in hand amounts to RM737.5 million to be fulfilled until 2024 which consists mainly of power cables and wires supply with TM.
Southern Cable is a registered supplier for cables and wires with TM, and has a track record of supplying the nation's premier telecommunications provider for the past 21 years.