Genting's entry sparks interest in PUC's digital banking bid

© Provided by The Edge

LAST Tuesday, ACE Market-listed PUC Bhd announced that GPVF Sdn Bhd, an indirect subsidiary of Genting Plantations Bhd — the plantation arm of the Genting Group — will be taking up a 10% stake in PUC.

The announcement was received positively by the market, with PUC shares gaining as much as 27% to touch 21 sen last Wednesday, a day after the announcement was made.

The entry of Genting group into PUC is seen by market watchers as part of the plan by the former to get a piece of the action in the Malaysian digital banking space, as PUC is leading a consortium that submitted a bid for a digital banking licence in June.

On PUC’s end, the heavy minimum capital funds requirement stipulated by Bank Negara Malaysia for a digital banking licence of RM100 million unimpaired by losses that is required for the first three to five years of operations of the digital bank would mean that PUC would need to leverage the financial strengths of its strategic partners in the consortium. Its balance sheet as at June 30, 2021, shows a cash balance of RM2.79 million, and total borrowings of RM3.77 million.

Interestingly, PUC’s July announcement on its bid states that its strategic partners in the consortium are the Sabah government, the Pahang government and a conglomerate, which it does not name. While it is understood that both state governments will each have a 20% stake in the consortium, it is believed that Genting Digital Sdn Bhd, a wholly-owned subsidiary of Genting Bhd, is likely to take up a direct stake in the digital bank consortium.

Under the Financial Services Act 2013, restrictions on shareholding for a digital bank only applies to individuals, with the cap maintained at 10%, while there is no restriction for corporates and other non-individuals.

When asked if the Genting group is the conglomerate that will be taking a stake in the consortium, PUC CEO Cheong Chia Chou, in an emailed response to The Edge, says the group is “unable to confirm the identity of the large conglomerate at this stage”.

Meanwhile, a representative from Genting Plantations had a “no comments” reply to questions sent by The Edge on its subscription for PUC shares.

While the identity of the conglomerate in the consortium remains unknown, PUC’s announcement on GPVF’s entry into the company last Tuesday is seen by market watchers as a part of the plan by the Genting group to gain exposure to the Malaysian digital banking space.

In its filing, PUC says that it has entered into conditional subscription agreements with three companies in relation to its proposed private placement of 375.06 million new shares at 12.5 sen per share, to raise RM46.88 million.

The three companies that are buying the new shares are GPVF, Matrix Edge Venture Sdn Bhd (MEV) and KH Lim Capital Sdn Bhd (KHLC). The agreement will see GPVF subscribing for 162.53 million shares, or a 10% stake for RM20.31 million.

Given the value of the investment, Genting Plantations did not make any announcement on this. Genting Plantations’ market capitalisation stood at RM6.48 billion last Friday.

Meanwhile, MEV, a company whose shareholders comprise Chai Hann Lin (40%), Sabah-based Borneo Armor Sdn Bhd (20%) and Datuk Seri Adnan Wan Mamat (40%), who is also a director of a subsidiary of the Royale Pahang Durian Group, will subscribe for 125.02 million PUC shares or a 7.69% stake, and KHLC, whose shareholders are Datuk Anthony Lim Kim Hai of the KH Lim Group (80%) and Yap Choon Fong (20%), is subscribing for 87.51 million shares or 5.38% in PUC post-issuance.

PUC intends to utilise RM15 million of the proceeds raised from the issuance for acquisition or investments in suitable and complementary businesses, which includes its digital banking bid, as well as the establishment of an online food delivery platform and its digital money lending business. The remainder of the proceeds will be used for the upgrading and marketing of its Presto digital platform.

According to Bank Negara, there are 29 applications for the digital banking licence, ranging from banks, industry conglomerates, technology firms, e-commerce operators, financial technology (fintech) players, cooperatives and state governments.

On what makes the PUC-led consortium stand out in its bid compared with the rest, Cheong says that PUC’s existing digital ecosystem, Presto, will enable the consortium to be a solid contender with its existing fintech, marketplace and service solutions.

“Our digital ecosystem, which encompasses e-commerce, logistics, e-wallet, loyalty programmes, and financing and payment solutions, will form a natural complement to the digital banking licence bid and enable it to drive innovation and boost digital transformation through its service offerings.

“If we are successful in our bid, we do not envisage digital banking becoming our core business but rather complementing our other businesses in Presto,” he says.

PUC closed at 16 sen last Friday, valuing the company at RM200 million.

Internet Explorer Channel Network
News Related


«Kein Krieg, aber Gefecht»: Fischereistreit im Ärmelkanal eskaliert

Im Streit um Fischerei-Lizenzen hat Frankreich den Ton verschärft und droht mit scharfen Kontrollen. Die britische Regierung ist empört und erwägt Gegenmassnahmen. © Foto: Joel Saget (AFP) Ein Fischerboot verlässt ... Read more »

Volvo Cars hopes downsized IPO can rev up investors' electric dreams

FILE PHOTO: Volvo presents its new electric car Volvo C40 Recharge, in Stockholm By Abhinav Ramnarayan and Helena Soderpalm STOCKHOLM (Reuters) – Volvo Cars is hoping investors will buy into ... Read more »

Individuelle Offroad-Aufbauten - Blissmobil Expeditionsmobile 2022

© Blissmobil Schon seit vielen Jahren ist der Hersteller Blissmobil für Expeditionsfahrzeugen auf Container-Basis bekannt. Schon seit vielen Jahren ist der Hersteller Blissmobil für seine Expeditionsfahrzeugen auf Container-Basis bekannt. In ... Read more »

Uniform nur für Schweizer: Zürich will keine Ausländer bei der Polizei

Wer sich zum Polizisten oder zur Polizistin ausbilden lässt, soll weiterhin schon vor Schulstart die Schweizerische Staatsbürgerschaft haben. Dies hat die zuständige Kantonsrats-Kommission entschieden. © Bereitgestellt von Blick Zürich will ... Read more »

Alle lieben jetzt karamellisierte Süßkartoffeln aus dem Ofen

So haben Sie Süßkartoffeln noch nie gegessen! Das Ergebnis: weich, süß und dennoch gesund – wir zeigen, wie das einfache Rezept gelingt © ISTOCKPHOTO Dieses Trend-Rezept müssen Sie probieren ISTOCKPHOTO ... Read more »

London property market recovery drives Foxtons' revenues beyond £1bn as sales income more than doubles

Revenues rose 50% in the first nine months of the year compared to 2020 levelsProperty sales revenues jump by 114% per cent on 2020 levels to £38.3m Analysts: 'There are signs the lettings market is starting to normalise' Read more »

Bund kann derzeit keine Covid-Zertifikate ausstellen

© KEYSTONE/ALESSANDRO DELLA VALLE Der Bund kann nach eigenen Angaben derzeit keine Covid-Zertifikate ausstellen. Die Überprüfung bereits ausgestellter Zertifikate sei nicht betroffen. Es handelt sich bereits um die dritte grössere ... Read more »

Baron Geisler, humingi ng tawad sa mga baklang pisikal niyang sinaktan

© Provided by Sa hindi inaasahang pagkakataon, humingi ng paumanhin si Baron Geisler sa mga baklang pisikal na nasaktan niya noong mga panahong may bisyo pa siya. Nangyari ang ... Read more »

UAE: FAB 9-month profit jumps 26% to Dh9.2 billion

© Provided by Khaleej Times First Abu Dhabi Bank (FAB), the UAE’s largest bank, on Thursday announced Dh9.2 billion net profit for the first 9 months of 2021, up 26 ... Read more »

Airbus Lifts Profit Goal as It Presses Advantage Over Boeing

(Bloomberg) — Airbus SE boosted its financial targets for the second time this year while confirming a production ramp-up that would cement the European planemaker’s advantage over Boeing Co. Most ... Read more »

Ivy League stint not a requirement for prexy bid but 'lying is different,' Isko says amid Bongbong issue

Isko Moreno and Bongbong Marcos composite Filipinos don’t need an Ivy League education to run for president but lying about one’s educational attainment is “different,” Manila mayor and presidential aspirant ... Read more »

Bombardier quarterly loss narrows as business jet demand rebounds

© Reuters/Christinne Muschi A plane flies over a Bombardier plant in Montreal (Reuters) – Canadian business jet maker Bombardier Inc posted a smaller second-quarter loss on Thursday, as demand for ... Read more »

Sixth sero survey shows Delhi had seropositivity rate of 97%: Jain

The sixth serological survey showed that the national capital had a seropositivity rate of 97 per cent, Delhi Health Minister Satyendar Jain said on Thursday. All districts were found to ... Read more »

Europe gas prices drop on Putin's order to fill EU storages

Russian President Vladimir Putin chairs a meeting on development of the resource potential on the Yamal peninsula via teleconference at the Novo-Ogaryovo residence outside Moscow, Russia, Wednesday, Oct. 27, 2021. ... Read more »

Danyal Hussein: Teenage Satanist jailed for life for murder of sisters in Wembley

An image of Bibaa Henry and Nicole Smallman, taken just before they were killed (Met Police/PA) (PA Wire) A teenage Satanist who murdered two sisters in a random park attack ... Read more »

Asylum Hill shooting wounds 18-year-old, Hartford police say

An 18-year-old was shot in Hartford’s Asylum Hill neighborhood Wednesday night, police said. Officers were dispatched to a city hospital after staff reported a gunshot victim had arrived for treatment, ... Read more »

When the pee hit the fan: What SpaceX passengers didn't mention about their flight

© Provided by National Post A SpaceX Falcon 9 rocket with the Crew Dragon spacecraft onboard is rolled out to the launch pad on Oct. 27, 2021 as preparations continue ... Read more »

Tennent's Lager owner C&C Group swings back to profit as the hospitality sector starts to recover and Sunak dishes out overhaul of alcohol duty

Upbeat: Tennent’s Lager maker C&C Group swung back to an operating profit in the six months to the end of 31 August Tennent’s Lager maker C&C Group swung back to an ... Read more »

Greggs customers FURIOUS as it temporarily axes menu favourite to sell vegan festive bake

GREGGS fans are furious that the bakery has scrapped its vegan Sausage, Bean and CheeZe melt to make room for its plant-based festive bake. The high street chain has temporarily ... Read more »

Sainsbury's reveals Christmas delivery slot dates and plans to close on Boxing Day

SAINSBURY'S shoppers can book a Christmas delivery slot from next month, the supermarket said as it confirmed that stores will close on Boxing Day. The grocer has also revealed when ... Read more »

Sudanese army faces widening opposition to takeover

© Reuters/EBAID AHMED FILE PHOTO: Anti-military protests in northeastern Sudan KHARTOUM (Reuters) – The Sudanese army was facing widening opposition on Thursday to this week’s coup, with state officials in ... Read more »

I nearly died after being pushed out of third-floor window by university boss who tried to rape me

A STUDENT in Uzbekistan nearly died after her boss allegedly pushed her out of a third-floor window following an alleged attempted rape. Mushtaribonu Kamilova, 20, sustained serious injuries after allegedly ... Read more »

Royal Family news latest – How Queen's amazing last minute advice stopped Prince William DUMPING Kate Middleton

THE Queen offered Prince William some last ditch advice that stopped him dumping Kate Middleton, it has been claimed. Back in the early days of their relationship in 2006, William ... Read more »

10 Things in Politics: Dems slash Biden's agenda in search for a deal

Welcome back to 10 Things in Politics. Sign up here to receive this newsletter. Plus, download Insider’s app for news on the go – click here for iOS and here ... Read more »

Conspiracist charged over alleged French coup plot

A far-right conspiracy theorist has been charged with terrorism over an alleged plot to overthrow the French government, among other violent acts. © Getty Images Rémy Daillet was already being ... Read more »

Virginia promotes book telling teachers to embrace CRT, which McAuliffe says isn't being taught

Virginia’s Department of Education is promoting a book that says “teachers must embrace theories such as critical race theory.” Terry McAuliffe has said throughout his gubernatorial campaign that the radical ... Read more »

Inheritance Tax warning: Treasury to profit from thousands of Britons paying ‘stealth' tax

Despite the Inheritance Tax (IHT) thresholds staying put, more and more people will pay the tax as the value of their estates increase. Inflation and a surge in the housing ... Read more »

EaseMyTrip signs agreement to acquire travel B2B marketplace Traviate

© Provided by Business Today EaseMyTrip signs agreement to acquire travel B2B marketplace Traviate  Online travel portal, Ease My Trip announced on Thursday that it has signed a non-binding agreement ... Read more »

Virals: Scott Brown winds up Rangers as Celtic win

Former Celtic enforcer and 14-year club legend Scott Brown has produced a tremendous wind-up after scoring a screamer for Aberdeen against Rangers last night. © Ian MacNicol/Getty Images Sport Aberdeen ... Read more »

[Watch] Deaf Woman Disappointed After KFC Doesn't Take Her Order At Drive-Thru this one?

Subscribe to our Telegram channel for the latest stories and updates. Local entrepreneur and vlogger, Siti Aira Sharina or Aira Meor, was left feeling emotional after her recent trip to a KFC ... Read more »

JSE lifts but inflation worries remain

© Provided by Business Live The JSE was firmer on Thursday morning, with its global peers mixed as investors worry that recovery from the Covid-19 pandemic will slow as elevated ... Read more »

Patel promises ‘thorough review' of police vetting

Home Secretary Priti Patel has promised to conduct a “thorough review” of police vetting in light of recent accusations against Metropolitan Police officers and the sentencing of Wayne Couzens. Speaking ... Read more »

Jada Pinkett Smith says she and Will Smith have 'never' had issues in the bedroom in response to reports about sex conversation with Gwyneth Paltrow

© Dominik Bindl/Getty Images Jada Pinkett Smith. Dominik Bindl/Getty Images Jada Pinkett Smith responded to reports that she and Will Smith had issues in the bedroom. She tweeted that the ... Read more »

#NotInMyName movement wants Eswatini king to aside step amid democracy protests

© Kingdom of eSwatini. King Mswati III with Special Envoy Jeff Radebe at the king’s palace in eSwatini. JOHANNESBURG – The Not In My Name Movement said that King Mswati ... Read more »

Satanic teenager jailed for life for murdering sisters

A teenager has been jailed for at least 35 years for murdering two sisters as part of a Satanic blood pact. Danyal Hussein, 19, savagely stabbed Bibaa Henry, 46, and ... Read more »

8 best hybrid bikes for city commutes and keeping fit

With the pandemic changing our transport needs, it might be time to invest in a new ride (iStock/The Independent) Hybrid bicycles incorporate elements of traditional road bikes with ideas taken ... Read more »

Former Nike, Adidas executives launch footwear brand for Indian children, teenagers

© Provided by CNBCTV18 Three former executives of global footwear behemoths Nike and Adidas have started a venture to make shoes for Indian children.  The startup, known as Plaeto, is ... Read more »

MHA Extends Covid Guidelines Till Nov 30; Containment Zones to Remain Under Lockdown

© Provided by News18 MHA Extends Covid Guidelines Till Nov 30; Containment Zones to Remain Under Lockdown In view of the spike in Coronavirus cases post the festive season in ... Read more »

Manchester United lineup Solskjaer must pick vs Tottenham to save his job

Whether you think Ole Gunnar Solskjaer should still be in a job or not — and whatever the reasons for him retaining his position at Manchester United — there’s no ... Read more »

Google unveils Android 12L operating system for foldables, tablets

© Provided by Zee News New Delhi: After releasing Android 12, Google has announced a preview of Android 12L, which may sound like a new version of Android, but Google ... Read more »
On you will find lots of free English exam practice materials to help you improve your English skills: grammar, listening, reading, writing, ielts, toeic