MPay Forms Joint Venture With Singaporean VC Firm, Aims For Digital Banking Licence
Author Avatar

ManagePay Systems Berhad (MPay) has formed a joint venture company with Singapore-based Passion Venture Capital Pte Ltd (PVC) with the aim of foraying into digital banking in Malaysia.

In a filing with Bursa Malaysia, MPay said that its subsidiary ManagePay Services had entered into the joint venture agreement with PVC to set up a company that will be applying for one of Bank Negara Malaysia’s digital banking licenses. MPay will hold 51% in the joint venture company, with PVC holding the remaining shares.

“PVC brings the ability to raise the funds required for the digital bank and also a wealth of experience in banking and deep knowledge to enhance banking offerings; therefore, placing the JV company as a formidable forerunner for the digital bank licence application for Malaysia, and subsequently the region of Southeast Asia,” said MPay.

Meanwhile, MPay has said that it is equipped with the infrastructure, processes, and operational know-how needed to seamlessly transform into a fully-fledged digital bank, catering especially to the same micro, small, and medium enterprises market.

Under the agreement, PVC is required to deposit or raise funds of close to RM100 million for the joint-venture company within three months from the date of agreement.

“In the event one month before the expiry of the conditional period, the total funds raised by PVC does not reach RM75mil or more, the parties agree that MPay may invite other investors or shareholders to deposit monies into the capital funds to attain the initial investment sum necessary for the application of a digital bank licence to Bank Negara,” said MPay.

With this move, MPay will join contenders such as Sunway, Axiata Group, Razer, Grab, AirAsia, and AMTD in the race for one of Bank Negara’s digital banking licenses.

(Source: The Edge Markets, The Star)

0 0 votes
Article Rating


Comments (0)

Notify of

Inline Feedbacks
View all comments
Top Personal Finance News Articles
Post Image
Petrol Price Malaysia Live Updates (RON95, RON97 & Diesel)
- 24th May 2023
We provide weekly updates on every Friday at 5pm on the prices of RON95, RON97 and Diesel in Malaysia and a chart that shows the movement of fuel prices across a 6-week period. Bookmark this page now!
Post Image
Astro 4K Ultra HD Broadcast To Be Available For Subscription By The End of This Year
Brian Chung
- 14th August 2018
By the end of 2018, Astro customers will be able to watch football matches in Ultra HD. Read on to know more about the 4k Ultra HD service.
Post Image
Touch n Go RFID: What Malaysian Road Users Need To Know
Jacie Tan
- 10th August 2018
Everyone’s talking about Touch ’n Go RFID being used at Malaysian highway tolls soon – here’s what you need to know about it.
Post Image
Best High Interest Savings Accounts In Malaysia (January 2023)
Pang Tun Yau
- 11th January 2023
Make your money work for you by depositing them into the best high-interest savings accounts in Malaysia!

Related articles

Related Posts Image
Related Posts Image
Related Posts Image
Related Posts Image