Investment & Market Trends

Cili Kampung Malaysia has acquired a 50% equity stake in Dotty’s Pastries & Coffee Sdn Bhd for RM11.96 million, valuing the artisanal bakery and café chain at RM23.9 million. The move is part of a broader wave of local food and beverage (F&B) investments in recent weeks. (From left): Dotty’s Pastries and Coffee senior commercial and business development manager Kaylee Low, founder and director Nadia Nasimuddin, Cili Kampung Malaysia director Anwar Azeez and chief marketing officer Kesavan (KC) Purusotman at the MOU signing ceremony marking Cili Kampung Malaysia’s strategic acquisition of a 50% stake in Dotty’s Pastries and Coffee. On February 12, Hextar Industries Bhd (KL:HEXTAR) signed a conditional deal to acquire a 51% stake in Woodpeckers Group, the master franchiser of premium frozen yogurt brand llaollao, for RM177.5 million. The following day, Harvest Miracle Capital Bhd entered the F&B sector with a 40% stake in Kaw Kaw Malaya, which plans to open two Malaysian heritage-themed restaurants in Kuala Lumpur. Cili Kampung said its partnership with Dotty’s is aimed at accelerating national expansion and strengthening its presence in the premium halal dining segment. Dotty’s was founded by Nadia Nasimuddin, a member of the Nasimuddin family behind the Naza group of companies. The acquisition coincides with Dotty’s 10th anniversary, marking a new phase of growth for the brand as it evolves into a scalable, nationally recognised halal-certified artisanal dining concept. A combined RM5 million growth fund has been allocated to support expansion, including infrastructure upgrades, supply chain improvements, and the relaunch of Dotty’s flagship outlet at Suria KLCC. “Acquiring a 50% stake in Dotty’s is a deliberate step to institutionalise a brand that has shaped Malaysia’s all-day dining culture over the past decade,” said Anwar Azeez, director of Cili Kampung Malaysia. “This investment reflects our confidence in Dotty’s brand equity, operational strength, and long-term growth potential.” Cili Kampung, which currently operates six outlets serving Malay cuisine, plans to leverage Dotty’s Jakim halal-certified central kitchen, artisanal IP, and loyal customer base to expand its footprint in the modern Malay lifestyle and premium café market. Dotty’s presently operates four outlets.

Jollibee Foods Corp, the Philippines’ largest restaurant operator, announced on Friday that it has signed a definitive agreement to acquire All Day Fresh Co Ltd, the company behind the Seoul-based hot pot and all-you-can-eat chain Shabu All Day, for approximately US$87 million (RM339.92 million). The acquisition will be carried out through a Jollibee subsidiary. Jollibee said the purchase “reinforces the company’s commitment to its Chinese cuisine segment and franchising initiatives, while providing entry into the global hot pot market.” As of January 2025, Shabu All Day operates 169 stores across South Korea, making it the largest chain in the country by store count. The brand generates annual system-wide sales of around US$285 million. The acquisition follows Jollibee’s July purchase of a 70% stake in Compose Coffee, also based in South Korea, for US$340 million. Private equity firm Elevation will retain its 30% stake in All Day Fresh and continue as a strategic partner in the business. Jollibee, which built its reputation in the Philippines with its signature crispy fried chicken, is accelerating its global expansion, competing with international giants such as KFC and McDonald’s. The company has also announced plans to spin off its international operations and pursue a listing in the United States.

Minor International Pcl, Thailand’s largest hotel and restaurant operator, is planning to launch its first real estate investment trust (REIT) valued at around US$1 billion and is also exploring a Hong Kong listing for its restaurant unit to raise funds for debt reduction. The company intends to contribute 14 hotels across Europe and Thailand to the REIT, which is expected to be listed in Singapore in the second half of this year, according to CEO Dillip Rajakarier. In addition, Minor is considering listing Minor Food Pcl in Hong Kong, aiming for higher valuations and access to a broader investor base. A final decision on the IPO is expected in the second quarter, with a potential listing later this year. Minor, whose Thai hotels were featured in the hit series White Lotus, has been actively reducing debt following its 2018 acquisition of NH Hotel Group SA, which had significantly increased its liabilities. The company aims to lower its debt-to-equity ratio to about 1.4 times this year, down from 1.8 times at the end of 2025. Rajakarier said, “We will continue our deleveraging efforts to bring our debt to a comfortable level. Lower debt will help lift the overhang that has affected our stock price.” The potential overseas listings also highlight the waning appeal of the Thai stock market, which continues to face challenges from sluggish economic growth and political uncertainty, despite a post-election rebound in equities. Minor projects net income growth of up to 20% annually over the next three years, fueled by the expansion of hotels and restaurants overseas. Already one of Asia’s largest hospitality groups, the company plans to increase its hotel portfolio to 850 properties by 2028, up from 636 last year. The group also aims to expand its restaurant network to over 4,000 outlets by 2028 across markets such as India, Indonesia, and Vietnam, compared with nearly 3,000 restaurants currently. Shares in Minor International have risen 7% this year, lagging behind the benchmark SET Index, which has climbed 17%.

Indonesia has imposed fines totalling 11.05 billion rupiah (about US$655,000 or RM2.55 million) on one company and three individuals for alleged stock market manipulation between 2016 and 2022, according to the country’s capital markets regulator. The Financial Services Authority (OJK) said the parties were penalised for allegedly controlling multiple investor accounts to inflate the share price of a listed company. One individual, a social media influencer identified only as BVN, was also fined for encouraging followers to buy certain stocks while using multiple accounts to trade. The action comes after global index provider MSCI raised concerns in January about transparency in Indonesia’s stock market, which triggered a market sell-off. In response, authorities tightened oversight and proposed reforms to restore foreign investor confidence. Earlier this month, OJK also sanctioned several firms for misconduct, including suspending the underwriting licence of UOB Kay Hian Sekuritas for a year over due diligence lapses linked to a 2019 initial public offering.

Bina Puri Holdings Bhd plans to sell its entire 50% stake in KL-Kuala Lumpur Expressway Bhd (KLKSE) to Arena Irama for RM77 million in cash. After the deal, Arena Irama will own 100% of KLKSE, which operates the 33km LATAR Expressway. Bina Puri originally invested RM30 million in KLKSE. Deloitte Malaysia valued the expressway at RM152.6 million to RM221.8 million for full ownership as of Dec 31, 2025. Proceeds from the sale will be used to partially repay Bina Puri’s trade and revolving credit facilities with Alliance Bank Bhd, which had an outstanding balance of RM109.36 million as of Jan 30, 2026. The repayment is expected to lower the group’s gearing ratio from 1.81 times to 0.81 times. Bina Puri CEO Marcus Goh said the expressway would take time to generate meaningful cash flow, and the disposal offers an opportunity to realise the full investment value, with an estimated gain of RM74.9 million. The group is also negotiating a scheme of arrangement with lenders and creditors, aiming for completion in the first quarter of 2026 to improve its financial position. As of Dec 31, 2024, KLKSE reported accumulated losses of RM234.2 million, negative equity of RM174.2 million, and total liabilities of RM1.18 billion, of which 95.8% are loans and borrowings.

Harvest Miracle Capital Bhd is acquiring a 40% stake in Kaw Kaw Malaya Sdn Bhd (KKM) and providing shareholder advances in a deal valued at RM4.4 million, marking the group’s entry into the food and beverage sector. The investment was formalised through a share subscription agreement with G&T Brand Sdn Bhd, the company behind Bungkus Kaw Kaw and Ah Cheng Laksa. KKM, which has yet to commence operations, plans to open two “Malaysian heritage-inspired” restaurant outlets at the newly refurbished Bangunan Sultan Abdul Samad and along Jalan Kemuning, off Jalan Imbi, in Kuala Lumpur. The RM4.4 million consideration includes RM40,000 for the 40% equity stake and an interest-free, unsecured shareholder advance of RM4.36 million. Harvest Miracle said the deal provides exposure to a scalable food and beverage concept led by G&T Brand’s experienced management team, which has a strong operational track record nationwide. Under the agreement, 70% of KKM’s quarterly profit after tax plus depreciation and amortisation will be distributed to Harvest Miracle until the RM4.4 million investment is recovered. This payout rises to 90% if recovery takes more than 24 months. G&T Brand will charge a 6% management fee on gross revenue, which may be discounted by up to 60% if the investment is not recovered within 36 months. The deal also includes a put option allowing Harvest Miracle to exit with a “protected minimum return.” Under the exit and liquidity rights clause, Harvest Miracle may exit via an initial public offering or strategic investment at 12 times KKM’s latest annual EBITDA, or require G&T Brand to buy back its stake at 10 to 15 times EBITDA within 36 months. KKM projects annual distributable payouts between RM1.8 million and RM4.5 million, implying an investment recovery period of roughly one to 2.4 years. Harvest Miracle shares closed unchanged at 14 sen on Thursday, giving the group a market value of RM287.9 million.

Bina Puri Holdings Bhd has agreed to dispose of its 50% stake in the concessionaire of the KL–Kuala Selangor Expressway (Latar) to Datuk Mohamed Raffe Chekku for RM77 million. The construction group signed the agreement with Arena Irama Sdn Bhd, a company owned by Mohamed Raffe, which already holds the remaining 50% stake in Kuala Lumpur–Kuala Selangor Expressway Bhd (KLKSE). KLKSE operates the Latar concession, which runs until 2048. In a filing with Bursa Malaysia on Thursday, Bina Puri said it decided to exit the concession as KLKSE has not declared any dividends since the project was awarded in 1997. Executive director and group CEO Marcus Goh Kee Lun said the disposal provides a timely opportunity for the group to unlock the full value of its investment in KLKSE, generating an estimated gain of about RM74.9 million. Proceeds from the sale will be used to repay bank borrowings, strengthening the group’s financial position. Following the disposal, Bina Puri’s gearing ratio is expected to improve significantly to 0.81 times from 1.8 times. Goh added that the group is targeting completion of its proposed scheme of arrangement by the first quarter of 2026. As at end-December 2024, KLKSE recorded accumulated losses of RM234.2 million, with total assets of RM1 billion and liabilities of RM1.18 billion. Bina Puri said the RM77 million consideration falls within the lower end of the valuation range of RM76.3 million to RM110.9 million, as assessed by Deloitte Malaysia. The valuation was based on a discounted cash flow method, applying a weighted average cost of capital of approximately 8% to 9% for the period from Jan 1, 2026 to Oct 27, 2048. The proposed disposal, which requires shareholders’ approval as well as consent from KLKSE’s financiers and the government, is expected to be completed by the second quarter of 2026. Bina Puri’s shares closed unchanged at 30 sen, giving the company a market capitalisation of RM267.89 million.

Microsoft announced on Wednesday that it is on track to invest a total of US$50 billion (approximately RM195 billion) by the end of the decade to support the development and expansion of artificial intelligence (AI) in countries across the Global South. The announcement was made during the AI Summit in New Delhi, an event that brings together top executives from leading AI companies alongside world leaders to discuss the future of AI and its global impact. The term “Global South” generally refers to developing, emerging, or lower-income nations, mostly located in the southern hemisphere. Microsoft’s planned investment is aimed at accelerating AI adoption and infrastructure in these regions, providing access to advanced technologies and supporting local digital ecosystems. Last year, the tech giant unveiled US$17.5 billion in AI investments specifically for India, underscoring its commitment to one of the world’s fastest-growing digital markets. With this broader US$50 billion plan, Microsoft seeks to extend similar initiatives to other countries in Asia, Africa, and Latin America, strengthening AI capabilities and fostering innovation in markets that have historically been underrepresented in the tech space.

Nestlé SA is exploring ways to reduce its presence in the ice cream sector as new CEO Philipp Navratil reviews the company’s broad operations, according to sources. The Swiss food giant is evaluating options including trimming its stake in Froneri, an ice cream joint venture with private equity firm PAI Partners that owns brands like Häagen-Dazs and Mövenpick. Nestlé may also sell some of its fully-owned ice cream units to Froneri. Discussions are ongoing, and no deal is guaranteed. PAI could increase its stake if Nestlé sells, or the Swiss group could sell part of Froneri to another investor such as the Abu Dhabi Investment Authority (ADIA). Nestlé and ADIA declined to comment, while PAI did not respond. Once one of the world’s largest ice cream producers, Nestlé now sells ice cream mainly outside Froneri’s scope. Last year, PAI raised billions to maintain control of Froneri, with ADIA joining as a minority investor in a deal valuing the firm at about €15 billion (US$17.7 billion or RM69.18 billion) including debt. Nestlé shares have fallen roughly 40% from their 2022 peak, nearing an eight-year low, while competitors Danone SA and Unilever Plc have risen more than 20% over the same period. Board Shake-Up Amid an infant formula contamination crisis affecting the industry, Nestlé also announced changes to its board ahead of full-year results. Thomas Jordan, former president of the Swiss National Bank, and Fatima Francisco, a senior executive at Procter & Gamble, have been nominated to the board and will stand for election at the company’s annual general meeting in April. Chair Pablo Isla said the revamp aims to boost board engagement, enhance oversight, and improve decision-making. Isla became board chair last year following a governance crisis that led to the departure of former CEO Laurent Freixe and long-time chairman Paul Bulcke. Jordan brings financial expertise and Swiss institutional knowledge, having overseen major events like the removal of the Swiss franc cap in 2015 and Credit Suisse’s collapse in 2023. Francisco adds consumer goods experience while improving gender diversity on the board.

Vietnam Airlines and Vietjet Air have signed aerospace agreements with US companies worth a combined US$14.4 billion, including US$8.1 billion in aircraft orders from Boeing. Vietnam Airlines ordered about 50 Boeing 737-8 aircraft and is in talks to potentially purchase around 30 additional wide-body jets in the future. The carrier said the deal supports its goal of becoming a leading airline by 2030. Vietjet Air announced two separate agreements totalling US$6.3 billion. Around US$5.4 billion will be spent on engine supplies and maintenance for 44 Airbus A320 aircraft through US manufacturer Pratt & Whitney. The remaining US$960 million will go toward leasing six Boeing 737 aircraft from Griffin Global Asset Management. The agreements were signed during Vietnamese leader To Lam’s visit to Washington, amid ongoing trade negotiations between the two countries. The US currently imposes 20% tariffs on Vietnamese goods. Despite trade tensions, Vietnam’s economy has continued to grow strongly, recording 8% growth as it maintains its position as a key manufacturing hub in Southeast Asia.