Pertama Digital has signed two MoUs to secure investment for its proposed digital bank
Pertama Digital Berhad announced today that it has signed Memoranda of Understanding (MoUs) with Perfect Hexagon Commodity and Investment Bank Limited (PHCIB) and Alsirat Sdn Bhd (ASB) to secure investment for its proposed digital bank.
Licensed as a Labuan investment bank under the Labuan Financial Services Authority, PHCIB is wholly owned under Perfect Hexagon Limited (“PHL”), a Hong Kong based entity. PHL is a global commodity and trade finance leader. PHL is also an Associate Participant of Bursa Malaysia Derivatives Berhad and a Liquidity Provider for the Hong Kong Exchanges and Clearing Limited.
Meanwhile, ASB is a wholly owned Bumiputera company that has more than 30 years’ experience in delivering mission-critical projects for customers since its inception. It provides digital evidence management solutions, big data analytics, machine learning, artificial intelligence and Internet of Things services.
According to the two MoUs, PHCIB and ASB both wish to support financial inclusion initiatives by investing in the digital bank proposed by Pertama Digital. Both investors will participate by contributing to the digital bank’s initial capital funds alongside Pertama Digital.
Pertama Digital’s Director of Strategy, Saify Akhtar, who also leads the company’s digital bank initiative, said: “We are pleased to welcome PHCIB and ASB as investors who bring additional long-term financial strength to our digital banking consortium, further enhancing our ability to deliver the financial inclusion objectives set out in Bank Negara Malaysia’s licensing framework for digital banks.”
PHL’s Group Director, Yap Sheng Feng, said: “PHCIB’s participation in this will be a synergistic collaboration with the consortium members, by leveraging on our experience in investment banking, treasury and asset management. With PHCIB’s global presence, Pertama Digital’s consortium can have a wider reach not just domestically but internationally as well.”
ASB director Tan Sri Abdul Rashid bin Abdul Manaf added: “ASB has seen first-hand the need to accelerate digital inclusivity due to the nature of our business, and we have decided that Pertama Digital’s unique focus on helping financially underserved Malaysians gain access to financial services is one that we would like to align ourselves with. The potential for horizontal synergies between ourselves, Pertama Digital and the digital bank is something that we look forward to as well.”
Pertama Digital is building a bank with both ethical and digital cores, offering responsible financing for productive purposes, in the best interests of its customers. The consortium intends to handhold customers to boost financial literacy and improve the relationship between Malaysia’s financially underserved and their money.
Pertama Digital, listed on the Main Market of Bursa Malaysia, received overwhelming shareholder approval on 21 August 2020 for its pivot from the textile business to the technology sector. Through an investment into homegrown govtech company, DAPAT Vista (M) Sdn Bhd, Pertama Digital is capitalising on global digital acceleration trends and has recently seen increased uptake in the group’s innovative digital solutions such as MyPay and eJamin, the world’s first smartphone court bail payment solution, now live in courts all over Malaysia.