Investment & Market Trends

Founder Rajeeshwaran Moorthy, FRAeS, returns home to anchor long-term investment in Malaysia’s strategic and future-facing sectors. KASDR Legacy Berhad today marked the official opening of its headquarters at Plaza Conlay, Kuala Lumpur. The ceremony was officiated by General (Retd) Tan Sri Dato’ Sri Affendi Buang, the 21st Chief of Defence Forces of Malaysia. The launch signals KASDR Legacy’s commitment to building and investing in Malaysia for the long term. A legacy built for generations KASDR Legacy Berhad is a Malaysian public holding company founded in 2026 by Rajeeshwaran Moorthy, FRAeS. The name KASDR is drawn from the initials of five generations of the founder’s family, with the final ‘R’ representing Rajeeshwaran Moorthy himself, and reflects a commitment to build a legacy of enterprise and impact that endures for the generations to come. The Group focuses on strategic, nation-building sectors. Its portfolio spans space, advanced technology, quantum and strategic investment, with an emphasis on ventures that build sovereign capability and create long-term value for Malaysia and the wider region. About the Founder Rajeeshwaran Moorthy, FRAeS, is the Founder, President and Group CEO of KASDR Legacy Berhad. He is a seasoned figure in the global space sector and in strategic investment, with a career spanning aerospace, emerging technology and sustainability. He is a Fellow of the Royal Aeronautical Society (FRAeS) in the United Kingdom. Founded in 1866, the Society is the world’s oldest professional body dedicated to aeronautics and aerospace, and Fellowship is its highest grade of membership. It is reserved for those who have made an outstanding contribution to the profession. Mr. Moorthy has played an active role in advancing bilateral cooperation between the United Arab Emirates and Malaysia, particularly in the space sector. Having built his career internationally, he is now returning to Malaysia to invest at home. KASDR Legacy is the vehicle for that commitment. He is also a three-time TEDx speaker and an established voice on space, technology and the future of strategic industries. Officiated by General (Retd) Tan Sri Affendi Buang The opening was officiated by General (Retd) Tan Sri Dato’ Sri Affendi Buang, one of Malaysia’s most distinguished military leaders. He served as the 21st Chief of Defence Forces from January 2020 to September 2023, the highest-ranking post in the Malaysian Armed Forces. Tan Sri Affendi joined the Royal Malaysian Air Force as a cadet officer in 1980. He rose to become the 18th Chief of the Royal Malaysian Air Force in December 2016, before his appointment as Chief of Defence Forces. He was only the second Air Force chief in the nation’s history to lead the Armed Forces. Over more than 43 years of service, he led the Armed Forces through national challenges including the COVID-19 pandemic and major flood relief operations. His contribution to international defence cooperation has been widely recognised. He received Singapore’s highest military award in 2022 and was appointed an Honorary Officer of the Order of Australia in 2023. Most recently, in May 2026, the French Republic conferred on him the rank of Commandeur de la Légion d’honneur, France’s highest distinction, in recognition of his role in strengthening Malaysia–France defence and strategic cooperation. A Malaysian milestone The new headquarters marks KASDR Legacy’s formal base of operations in Malaysia. From here, the Group will grow its portfolio and deepen its engagement with government, industry and international partners. “Opening our home in Kuala Lumpur is a deeply personal milestone for me,” said Rajeeshwaran Moorthy, FRAeS, Founder, President and Group CEO of KASDR Legacy Berhad. “After many years building partnerships abroad, I have come home to invest in Malaysia’s future. We are honoured that Tan Sri Affendi Buang, a leader who has given more than four decades to this nation, officiated our launch. KASDR Legacy is built to last for generations, and we look forward to working with stakeholders and partners who share that vision.” KASDR Legacy welcomes collaboration with government agencies, industry, investors and international partners. It is particularly keen to work with those aligned with its mission of building sovereign capability and long-term value in Malaysia.

A shipment rarely ends with the goods themselves. For the manufacturer waiting on materials, the distributor replenishing stock or the exporter fulfilling an order, its arrival determines whether another business commitment can be met.  That responsibility sits at the centre of Swissen Trading & Transport Sdn. Bhd.’s approach to cross-border logistics. Established in 1997 and headquartered in Senai Airport City, Johor, the company serves businesses moving goods between Malaysia and Singapore.  Managing Director of Swissen Trading & Transport Sdn. Bhd. – Angeline Leong Mei Ling. Its services cover cross-border trucking, container haulage, shunting, depot transfers, warehouse management and logistics support, alongside advisory and consultation services. Together, these capabilities help manufacturers, traders, distributors and import-export businesses coordinate the movement of goods across different stages of their supply chains.  With nearly three decades of experience, Swissen has built its proposition around dependable service, safe transportation and on-time delivery. Its next phase centres on strengthening the management capabilities behind those commitments.    Reliability Is the Product  For Swissen, the value of logistics lies in the certainty it gives customers.  A delayed shipment can affect production schedules, inventory availability and a customer’s ability to fulfil an order. The transport provider therefore becomes part of a wider chain of commercial obligations, with consequences extending beyond any individual delivery.  Swissen’s guiding statement, “We Carry Your Trust”, reflects that understanding. Each consignment represents a customer’s expectations and reputation, making responsibility and consistent execution central to the service.  The company places its ISO 9001 Quality Management System and ISO 39001 Road Traffic Safety Management System at the heart of its operational approach. These provide a framework for standardised processes, continuous improvement and greater attention to road safety.  As the business grows, maintaining those disciplines becomes increasingly important. Reliability must be supported by practices that employees can apply consistently across the operation.    The Challenge Behind Expansion  Swissen identifies managing complexity as a greater challenge today than finding customers.  In a smaller organisation, experience and direct involvement can resolve many operational issues. A larger business requires clearer responsibilities, stronger coordination and people who can make sound decisions without referring every matter to the founder or senior leadership.  That has changed the company’s leadership priorities. Developing talent, delegating responsibility and preparing future leaders now sit alongside customer service and daily operations.  The aim is to build a team capable of solving problems, supported by systems that control costs, improve efficiency and sustain profitability.  This also shapes how Swissen defines growth. Revenue remains important, but the company places equal emphasis on stronger team capabilities, better business systems and deeper customer trust. Expansion needs to strengthen the organisation’s ability to deliver on its promises.    Preparing for the Next Phase  Digital transformation is one of three priorities guiding Swissen’s direction.  The company plans to make greater use of GPS technology, data analysis and systematic management to improve operational visibility, service quality and decision-making. The practical objective is to give the business better information with which to coordinate resources and manage performance.  Its second priority is responsible operations, encompassing ESG practices, corporate governance and road safety. Swissen also hopes to extend its contribution through road safety education and social impact initiatives.  The third is further development of its Malaysia–Singapore cross-border capabilities. The company sees the Johor–Singapore Special Economic Zone and regional trade growth as opportunities around which to prepare its services and resources.  Its ambition is to become a modern logistics organisation with stronger digital capabilities, a sustainability mindset and international competitiveness. Achieving that will require continued investment in management, people and operational discipline.  For a business built around delivery commitments, these internal improvements have a direct commercial purpose. They determine whether customers can continue to depend on Swissen as their own operations grow more demanding.  The company’s next chapter will be measured in the strength of that dependability: a team, system and service capable of carrying the trust placed in every shipment. 

A factory owner, a hotel manager and a farmer in East Malaysia may have little in common operationally. Yet each faces a familiar business problem: finding the right supplies without spending excessive time dealing with multiple vendors.  That procurement challenge sits at the centre of Man Kian Hardware’s business. Once associated primarily with local contractors and nearby customers, the hardware trade offers a wider opportunity when suppliers can connect demand, sourcing and delivery across geographical boundaries.  Director of Man Kian Hardware & Trading Sdn. Bhd. – Lam Kian Tiong. Under founder and director Lam Kian Tiong, Man Kian has adopted a digital-first approach, serving business customers and individual buyers nationwide. Its digital lead-generation network allows it to reach customers across industries, extending its market well outside the traditional contractor base.  The shift changes what a hardware supplier needs to deliver. Product availability remains essential, but customers also need help identifying suitable supplies, securing reliable sourcing and coordinating fulfilment. For businesses managing daily operational demands, the value lies partly in the time that a capable supplier can save.  Man Kian’s approach begins with understanding those requirements. The company positions itself as a procurement partner, bringing together responsive service and practical sourcing so customers can devote more attention to running their own operations.  Digital marketing supports that model by connecting the company with a broader pool of potential buyers. However, attracting enquiries is only the beginning. Converting them into lasting customer relationships depends on the organisation’s ability to respond accurately and deliver consistently.  This is where Lam places particular emphasis on relationships.  Man Kian works closely with manufacturers, suppliers and business partners to resolve customer requirements. Internally, coordination between departments supports fast responses and dependable service. These connections are less visible than the products themselves, but they underpin the company’s ability to meet varied procurement needs.  A nationwide customer base makes that coordination especially relevant. Different industries bring different purchasing priorities, while distance adds complexity to fulfilment. The company’s investment in logistics capabilities therefore forms an essential part of its digital strategy.  Its commercial direction is guided by customer demand, purchasing trends and market data. Alongside digital marketing and logistics, Man Kian continues to develop its MK Brand. Investment decisions are assessed against their contribution to customer experience, operational efficiency and long-term competitiveness.  For Lam, growth also involves choices about how the business competes. The company deliberately avoids relying purely on price, placing greater weight on expertise, service and the strength of customer relationships.  That approach reflects a broader definition of progress: building a respected brand, developing employees and maintaining sustainable profitability alongside revenue growth. It requires the company to demonstrate why customers should return when competing offers are readily available.  Operational decisions provide another indication of its priorities. Man Kian expanded by acquiring a warehouse next to its existing headquarters, a move intended to reduce unnecessary transportation and improve efficiency.  The company also promotes paperless workflows, reuses packaging materials and uses energy-efficient equipment. These measures place responsible resource management within everyday operations, where decisions about space, movement and materials can produce practical improvements.  Man Kian’s experience illustrates how a familiar trade can reach a wider market by rethinking the customer problem it serves. Digital channels create access to new buyers; sourcing relationships, logistics and internal coordination give that access commercial substance.  Its proposition rests on making procurement easier. As its reach expands, the strength of that proposition will depend on delivering the same responsiveness and reliability to a customer across the country as to one close to its headquarters.   

Singapore-based payment technology company dtcpay has raised US$25 million in a Series A funding round led by Japan’s SBI Group, as it looks to expand its stablecoin payment services and strengthen its merchant network. The funding will support the company’s next phase of growth, including the development of new payment solutions, improvements to its digital infrastructure and expansion of its services for businesses and consumers throughout 2026. SBI Group participated in the investment through SBI Ventures Asset Pte Ltd and the SBI-NTU-Kyobo Digital Innovation Fund. The funding round also attracted participation from Genedant Capital and existing investor Kwee Liong Tek. The company did not disclose its valuation following the funding round or the equity stake acquired by SBI Group. Founded by Alice Liu and Band Zhao, dtcpay provides payment infrastructure that enables businesses and individuals to accept, store and transact using stablecoins and traditional fiat currencies. Stablecoins are digital currencies designed to maintain a relatively stable value, usually by being linked to conventional assets such as the US dollar. Their growing use in financial transactions has created opportunities for payment providers seeking to connect digital assets with traditional financial systems. dtcpay has positioned itself in this market by developing solutions that allow merchants and consumers to use stablecoins for everyday transactions while maintaining access to conventional currencies. Its platform includes a real-time currency swap engine that supports transactions between stablecoins and fiat currencies, helping users manage different payment methods through a connected system. With the latest investment, the company plans to strengthen its technology capabilities and introduce additional services to meet the needs of businesses adopting digital currency payments. Among its priorities is the launch of a revamped business portal designed for enterprise customers, alongside improvements to its consumer application. The company also intends to expand its merchant network, allowing more businesses to accept stablecoin payments through its infrastructure. The expansion comes as digital payment providers increasingly explore ways to make stablecoins more practical for commercial transactions, particularly in areas such as cross-border payments and merchant settlements. Headquartered in Singapore, dtcpay operates as a regulated payment services provider. It holds a Major Payment Institution licence from the Monetary Authority of Singapore and an Electronic Money Institution licence in Luxembourg, supporting its ability to offer payment services in regulated markets. The company has also developed several partnerships and products aimed at encouraging wider adoption of stablecoin transactions. Its point-of-sale solution enables merchants to accept payments in stablecoins, while an integration with WalletConnect provides compatibility with more than 700 digital wallets. In addition, dtcpay has partnered with Visa on a stablecoin-to-fiat payment card that allows users to spend at more than 150 million merchant locations worldwide. The company has also made progress in Singapore’s retail market, with department store Metro becoming the first department store in the country to accept stablecoin payments through dtcpay. These developments reflect dtcpay’s efforts to move stablecoin payments beyond digital asset platforms and into mainstream commercial activities. As businesses seek more flexible payment options, the company aims to provide infrastructure that connects digital currencies with established financial networks, allowing merchants to offer additional payment methods without relying entirely on conventional banking transactions. The participation of SBI Group, a Japanese financial services company with investments in digital assets and blockchain technology, also brings an established financial industry investor into dtcpay’s next stage of development. The latest funding is expected to help dtcpay strengthen its position in the evolving digital payments industry, where competition is increasing as financial institutions and technology companies explore the commercial potential of stablecoins. Looking ahead, dtcpay plans to focus on expanding its merchant network, improving its enterprise payment solutions and enhancing the user experience across its platforms. Through continued investment in technology and partnerships, the company aims to make stablecoin transactions more accessible to businesses and consumers while supporting broader adoption of digital payment services across regional and international markets.

Affin Bank has secured a US$400 million (approximately RM1.7 billion) long-term financing package from the International Finance Corporation (IFC) to expand financial support for micro, small and medium enterprises (MSMEs) across Malaysia. The partnership aims to improve access to financing for businesses seeking to expand their operations, invest in new opportunities and strengthen their long-term growth. Particular attention will be given to women-owned enterprises and businesses operating in underserved regions, including Sabah and Sarawak, where access to funding can be more challenging. Under the agreement, Affin Bank will channel the financing to eligible MSMEs, helping businesses obtain the capital needed to support daily operations, business expansion and future investments. The initiative is expected to contribute to Malaysia’s economic development by supporting entrepreneurship, encouraging business growth and creating more employment opportunities. IFC estimates that the partnership could help generate at least 42,000 jobs across Malaysia over the next five years, while improving financial access for businesses outside major urban centres. Allen Forlemu, IFC Regional Industry Director for the Financial Institutions Group in Asia Pacific, highlighted the importance of providing greater financial opportunities to underserved communities. “We estimate that this partnership could create at least 42,000 jobs across Malaysia over the next five years, while expanding access to finance for women entrepreneurs and enterprises operating outside major urban centers, especially the ones where the financing gaps are wider,” he said. Forlemu also welcomed the collaboration with Affin Bank, recognising its commitment to supporting Malaysian MSMEs and promoting greater financial inclusion. “We welcome working with a partner of AFFIN BANK’s focus, experience, and expertise and appreciate their visionary leadership in supporting the growth of Malaysian MSMEs, including those owned by women, and uplifting underserved communities in places like Sarawak and Sabah,” he added. Meanwhile, Affin Group President and Group Chief Executive Officer Datuk Wan Razly Abdullah said the partnership would strengthen the bank’s ability to provide financing solutions to businesses with strong growth potential. “Through this collaboration with IFC, we are expanding our ability to support businesses that have the potential to grow, particularly women-owned enterprises and businesses in regions where access to financing remains more limited,” he said. Wan Razly emphasised that access to capital plays an important role in helping smaller businesses become more competitive and contribute to the country’s economic progress. “We believe greater access to capital is essential to advancing socio-economic development, strengthening local economies and creating opportunities for more Malaysians to participate in the nation’s growth,” he added. Beyond providing financing, the collaboration will also give Affin Bank greater access to international capital markets, IFC’s global investor network and its expertise in development finance. These resources are expected to support the bank’s efforts to strengthen its MSME financing capabilities and broaden its reach to businesses that may face difficulties obtaining traditional financing. Affin Bank has been expanding its SME banking business through financial products and services designed for startups, women entrepreneurs and growing companies. The latest financing package builds on these efforts by providing additional resources to support businesses at different stages of development. MSMEs play an important role in Malaysia’s economy, contributing to employment, business activity and economic development across various industries. However, access to suitable financing remains a challenge for some smaller enterprises, particularly those with limited financial resources or operating outside established commercial centres. By improving access to funding, the Affin Bank-IFC partnership seeks to help more businesses invest in equipment, increase production capacity, improve operations and explore new markets. The focus on women-owned businesses also reflects a broader effort to encourage inclusive economic participation and provide entrepreneurs with more opportunities to develop sustainable businesses. For businesses in Sabah, Sarawak and other underserved areas, greater financing availability could help address existing funding gaps and support local economic activity. The US$400 million financing package represents a significant step in Affin Bank’s efforts to strengthen its MSME banking portfolio while supporting Malaysia’s wider financial inclusion and economic growth objectives. Through the partnership, Affin Bank and IFC aim to help more Malaysian businesses access the financial resources needed to grow, create jobs and contribute to the country’s long-term economic development.

Southeast Asian technology company Grab has announced plans to acquire Atome Financial in a two-stage transaction, beginning with the purchase of a 60% stake for US$1.49 billion in cash. The acquisition is part of Grab’s strategy to expand its financial services business, particularly in consumer lending and digital financing across Southeast Asia. Under the agreement, Grab will initially acquire a controlling 60% interest in Atome Financial from Advance Intelligence Group and other shareholders. The company will then purchase the remaining 40% approximately two years after the first transaction is completed, giving Grab full ownership of Atome Financial. The proposed acquisition remains subject to regulatory approvals and other customary closing conditions. The first stage of the transaction is expected to be completed by the third quarter of 2027. The initial US$1.49 billion investment includes US$260 million in growth capital to support Atome Financial’s future expansion. The purchase price for the remaining 40% stake will depend on Atome Financial’s business performance between the two transactions. Under the agreed pricing formula, Atome Financial’s equity valuation for the second stage will range between US$2 billion and US$4.5 billion. At least half of the payment for the remaining stake will be made in cash. Atome Financial currently operates in five Southeast Asian markets, namely Singapore, Malaysia, the Philippines, Indonesia and Thailand. The company provides a range of digital financial services, including buy now, pay later (BNPL) solutions, consumer cash loans, BNPL cards and other digital lending products. Since its establishment, Atome Financial has recorded approximately 25 million cumulative transacted users and established partnerships with more than 30,000 brands. It also manages a gross loan portfolio of approximately US$1 billion, reflecting the growing demand for flexible financing solutions across the region. The acquisition is expected to strengthen Grab’s consumer lending capabilities while expanding its access to Atome Financial’s merchant network and customer base. Grab President and Chief Operating Officer Alex Hungate said Atome Financial’s use of artificial intelligence (AI) in digital lending would support the growth of Grab’s financial services ecosystem. “Atome Financial’s leading use of AI to underwrite digital lending to millions of users across the region, while managing risk effectively, will help to scale and strengthen Grab’s whole ecosystem,” he said. He added that the acquisition would help Grab improve the profitability of its financial services business and create more opportunities to serve Atome Financial’s merchant partners. Meanwhile, Advance Intelligence Group Chairman and Chief Executive Officer Jefferson Chen, who also serves as CEO of Atome Financial, said the partnership would help extend digital financing services to more underserved consumers. “Powered by AI and data, every transaction makes our underwriting smarter and our products more personalised,” he said. Chen added that combining Grab’s regional platform with Atome Financial’s AI-powered lending technology would allow both companies to reach millions of additional customers across Southeast Asia. Following the completion of the first stage, Atome Financial’s existing management team will continue overseeing its operations. Grab will also consolidate Atome Financial into its Financial Services segment, strengthening its position in the region’s growing digital lending market. The proposed transaction follows Grab’s recent acquisition activities, including its purchase of US-based investment platform Stash Financial and its agreement to acquire Foodpanda’s Taiwan operations for US$600 million. Grab said the initial acquisition would be funded entirely through its existing cash reserves. Looking ahead, the company expects its financial services business, including Atome Financial, to generate adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) of US$500 million by 2028. The segment is also projected to achieve a gross loan portfolio exceeding US$6 billion by the same year. At the group level, Grab has increased its 2028 financial targets, aiming to achieve adjusted EBITDA of US$1.7 billion. The company is also targeting compound annual revenue growth of more than 30% between 2025 and 2028. The planned acquisition reflects Grab’s continued efforts to expand beyond its core ride-hailing and delivery operations into digital banking, lending and other financial services. By combining Atome Financial’s lending technology and customer network with Grab’s existing ecosystem, the company aims to strengthen its regional financial services business and provide more financing options to consumers and merchants across Southeast Asia.

The International Finance Corporation (IFC), the private-sector investment arm of the World Bank Group, has invested US$20 million in Malaysia’s fintech company Boost Holdings through preference shares, valuing the company at US$340 million after the investment. Boost confirmed the investment in an announcement on 28 September 2026, stating that the funding would support the development and expansion of its digital financial services. According to IFC’s project disclosure, the investment was completed on 17 August 2026 as part of efforts to strengthen financial inclusion and improve access to financing in Malaysia. The funding is expected to support Boost’s financing services for small and medium enterprises (SMEs) and individual consumers, particularly those who have limited access to traditional banking facilities. One of the key areas of focus is digital lending, including the use of alternative credit scoring methods to assess borrowers who may not have established credit histories. By using digital technology and alternative financial data, Boost aims to make financing more accessible to underserved individuals and businesses. The investment also comes as Boost continues discussions with other potential investors to secure additional funding for its future growth. According to a report by The Edge, Axiata Group chief executive officer and managing director Nik Rizal Kamil Nik Ibrahim Kamil indicated that further capital injections would provide Boost with greater flexibility to pursue its expansion plans. However, he did not disclose the identities of the potential investors or the amount of additional funding being sought. Under an agreement signed on 31 July 2026, IFC subscribed for approximately 11.7 million preference shares in Boost Holdings. The investment represents an important development in Boost’s fundraising efforts, although IFC’s exact ownership percentage and the specific terms attached to the preference shares have not been publicly disclosed. IFC had previously announced its proposed investment in December 2025, indicating its intention to lead an equity fundraising exercise for Boost. Boost Holdings operates a range of digital financial services across Malaysia and Indonesia, including digital payments, merchant solutions and financing products. The company focuses on using financial technology to provide convenient and accessible financial services to consumers and businesses. Its operations also include Boost Bank, one of Malaysia’s licensed digital banks. Boost Bank is a joint venture between Boost Holdings, which owns a 60% stake, and RHB Bank, which holds the remaining 40%. The digital bank officially began offering services to the Malaysian public in June 2024 after receiving one of the five digital banking licences issued in the country. Through its digital banking and fintech operations, Boost aims to expand financial services to a wider range of customers, including individuals and SMEs that may face difficulties obtaining conventional banking products. Before IFC’s investment, Axiata Group was the largest shareholder in Boost Holdings with a 77.76% stake. Great Eastern Digital held 19.90%, while Japanese trading company Mitsui owned the remaining 2.34%. IFC’s entry as an investor is expected to strengthen Boost’s financial position and support its plans to expand digital lending, banking and payment services. The investment also reflects growing institutional interest in Malaysia’s digital financial services industry, particularly businesses focused on improving financial accessibility through technology. With additional funding and continued investor support, Boost is seeking to strengthen its position in the regional fintech market while expanding its services to more consumers and businesses.

Shanghai Enflame Technology Co made a strong debut on the Shanghai stock market, with its shares jumping 179% after the Chinese artificial intelligence (AI) chipmaker raised approximately 6.12 billion yuan (US$911 million or RM3.71 billion) through its initial public offering (IPO). The company’s shares closed at 397 yuan on Friday, significantly higher than its IPO price of 142.18 yuan per share. During early trading, the stock surged as much as 234%, reflecting strong investor demand for Chinese AI chip companies. The stock closed 179% higher at 397 yuan, compared with its IPO price of 142.18 yuan apiece after surging as much as 234% in early trading on Friday. Enflame sold 43 million shares in its IPO, attracting overwhelming interest from retail investors. Applications from individual investors exceeded the number of shares available to them by approximately 4,000 times. The company is the last of China’s so-called “four little dragons” of AI chipmakers to go public, following Moore Threads Technology Co, Biren Technology Co and MetaX Integrated Circuits. Although these companies initially experienced strong demand during their market debuts, their share prices have since declined significantly. Moore Threads, which recorded a 425% increase during its debut in December, has fallen more than 60% from its record high. Meanwhile, MetaX and Biren have each dropped more than 40% from their respective peaks. Despite these declines, investor interest in China’s AI semiconductor industry remains strong, supported by rising demand for advanced computing technology and continued investment in AI infrastructure. Enflame is among several Chinese technology companies developing domestic AI chips to support the country’s growing demand for computing power. The company specialises in AI accelerators used in cloud computing and data centres. Its chips support applications such as AI chatbots, recommendation systems and generative AI services. While Enflame remains smaller than major Chinese technology companies such as Huawei Technologies Co and Cambricon Technologies Corp, it has established a position in China’s expanding AI chip market. Tencent Holdings Ltd plays a major role in Enflame’s business, holding a 20% ownership stake while also serving as one of its largest customers. According to analysts at Huajin Securities, Enflame’s close relationship with Tencent is one of its key strengths. “The appeal of the company lies in its position as one of China’s leading cloud AI chipmakers, as well as Tencent’s dual role as both a key customer and major shareholder,” analysts including Li Hui said in a research note. However, the analysts also highlighted that Enflame continues to lag behind some competitors in revenue size and gross profit margins. Tencent’s contribution to Enflame’s revenue has increased substantially in recent years. In 2025, sales to Tencent accounted for approximately 84% of Enflame’s total revenue, compared with around 38% in 2024. Tencent uses Enflame’s technology across its internet and cloud computing operations, particularly in large data centres supporting AI applications and digital services. Despite its rapid expansion, Enflame has yet to achieve profitability. The company reported a net loss of 1.2 billion yuan in 2025, an improvement from the 1.5 billion yuan loss recorded in the previous year. For the first nine months of 2026, Enflame expects its net loss to be no more than 860 million yuan as it continues investing in technology development and business expansion. Revenue is also expected to increase significantly, with the company forecasting more than threefold year-on-year growth during the same period. Enflame previously recorded compound annual revenue growth of more than 80% between 2023 and 2025, reflecting growing demand for its AI computing products. The strong stock market debut highlights continued investor confidence in China’s AI chip industry, even as concerns remain over profitability, competition and the high costs of developing advanced semiconductor technology. For Enflame, its future performance will depend on maintaining strong customer demand, expanding its business beyond major clients such as Tencent and improving profitability as China’s AI industry continues to develop.

New Hoong Fatt Holdings Bhd (NHF) plans to invest up to RM20 million in a venture capital fund established by Cypress Drive Ventures Sdn Bhd as part of its strategy to diversify investments and explore new growth opportunities. The proposed investment will be undertaken through its wholly-owned subsidiary, Jhi Soon Manufacturing Industries Sdn Bhd. In a filing with Bursa Malaysia, NHF said Jhi Soon had signed a share subscription agreement to acquire up to 20 million Class A redeemable preference shares in the fund at RM1 per share, representing a maximum investment commitment of RM20 million. The company said the investment forms part of its broader capital allocation strategy, allowing the group to gain exposure to a diversified portfolio of early-stage businesses and high-growth investment opportunities. Through the professionally managed venture capital fund, NHF aims to explore emerging technologies, innovative business models and new market opportunities that could contribute to its long-term growth. The investment will also enable the group to diversify its financial interests beyond its existing operations while benefiting from the expertise of professional fund managers. Despite the planned investment, NHF emphasised that it will remain focused on its core automotive replacement parts business. The proposed venture capital investment reflects the group’s efforts to identify additional growth opportunities while maintaining its existing business priorities.

Seng Fong Holdings Bhd has completed the acquisition of a 51% equity stake in Ghana-based Rainbow Rubber Buying Center Ltd (RRBC) for GHS280,500, equivalent to approximately RM100,500, marking a significant step in the Malaysian rubber processor’s expansion into the African market. The acquisition establishes Seng Fong’s presence in Ghana and forms part of the group’s broader strategy to diversify its raw material sourcing, strengthen supply chain resilience and expand its international market presence. RRBC operates a rubber processing facility in Ghana, providing Seng Fong with access to an alternative source of natural rubber outside its existing Southeast Asian operations. The investment is expected to support the group’s efforts to secure a more consistent supply of raw materials while improving cost efficiency and reducing its reliance on traditional sourcing markets. Strengthening Raw Material Supply and Cost Competitiveness Seng Fong Executive Director Jimmy Er Tzer Nam said the acquisition represents an important opportunity for the group to establish a more secure and diversified raw material supply base. He explained that expanding into Africa would enable Seng Fong to reduce its dependence on Southeast Asia while supporting its plans to increase production capacity and strengthen its position in the global rubber industry. According to Er, Africa offers some of the most competitively priced raw rubber in the international market, presenting an opportunity for Seng Fong to improve its overall procurement costs. Access to lower-priced raw materials could enhance the group’s cost competitiveness and provide greater flexibility in managing production expenses. The acquisition also aligns with Seng Fong’s strategy of identifying new sourcing opportunities in regions that offer favourable supply conditions and long-term growth potential. By establishing a presence in Ghana, the company aims to strengthen its procurement network and create a more diversified supply chain capable of supporting its expanding operations. Reducing Dependence on Southeast Asian Markets The move into Ghana comes as rubber producers and processors across Southeast Asia face increasing challenges associated with unpredictable weather conditions and potential supply disruptions. Changes in rainfall patterns and other weather-related risks can affect rubber production and raw material availability, creating uncertainty for companies that depend heavily on supplies from a single geographical region. Seng Fong’s expansion into Africa is intended to help mitigate these risks by providing access to an additional sourcing market. A broader geographical presence could allow the group to manage supply fluctuations more effectively and maintain greater operational flexibility. The company also expects the availability of competitively priced rubber in Africa to support its efforts to manage raw material costs over the longer term. This diversified sourcing approach is expected to strengthen the group’s ability to respond to changing market conditions while supporting more sustainable business growth. Production Output Expected to Increase by 40,000 Metric Tonnes Following the acquisition, Seng Fong expects its production output to increase by approximately 40,000 metric tonnes during the first year. The projected increase reflects the group’s plans to leverage its expanded operational footprint to support higher production volumes and meet demand from international markets. Further gradual growth is anticipated in subsequent years as Seng Fong develops its presence in Ghana and strengthens its sourcing and processing capabilities. The additional production output could also support the group’s ambition to capture a larger share of the global natural rubber market. By combining its existing Southeast Asian operations with the newly acquired Ghana-based business, Seng Fong aims to enhance its operational capacity and establish a more geographically diversified production and sourcing network. Supporting Long-Term International Growth The acquisition of RRBC represents another step in Seng Fong’s strategy to expand beyond its established regional markets and strengthen its position within the global natural rubber industry. The group sees Africa as a potential growth market, particularly given the availability of competitively priced raw rubber and opportunities to develop additional sourcing capabilities. Its investment in Ghana provides an initial platform for expanding its presence in the region while complementing its existing operations in Southeast Asia. The move could also support greater supply chain stability by reducing geographical concentration risks and improving access to alternative raw material sources. As Seng Fong continues to pursue international expansion, the group remains focused on strengthening cost efficiency, increasing production output and improving its competitiveness in the global rubber processing market. With the acquisition completed, Seng Fong is positioned to develop its African operations as part of its longer-term efforts to build a more diversified and resilient natural rubber supply chain.