KUALA LUMPUR, Feb 2 (Bernama) — The Malaysian Technology Development Corporation (MTDC), a wholly owned unit of Khazanah Nasional has joined Gobi Partners in a RM5.0 million co-investment in Pitch Platforms Sdn Bhd (pitchIN).
The pitchIN equity crowdfunding (ECF) platform is a Registered Market Operator with the Securities Commission and to date and it has successfully funded 154 deals — the most among all ECF platforms in Malaysia.
PitchIN has raised over RM280 million to date, with over 7,600 investments made into fast-growing Malaysian companies.
In a statement, MTDC said it is co-investing in the company through MTDC’s Business Growth Fund and Gobi‘s Superseed II Fund.
The fund will further assist the company to expand the ECF platform offering, launching initial exchange offering (IEO) and secondary market platforms locally and initiating similar ventures regionally.
MTDC signed a memorandum of understanding with Pitch Platforms in 2020 to collaborate and cooperate in the areas of ECF.
The MTDC-pitchIN ECF programme allows MTDC to participate in equity crowdfunding investment of up to 30 per cent in eligible prospective companies per campaign.
“With this additional investment in pitchIN, MTDC will be able to further facilitate fundraising for local technology-based companies through their crowdsourcing online platform,” MTDC said.
The agency will also provide its integrated support services for the companies funded which include Technology Centre Management, Technopreneur Training Academy (TENTRA), 9 Pillars (Co9P) Centre and advisory services such as mentoring, soft-landing, branding, fundraising, international collaboration and networking.
MTDC’s chief executive officer (CEO) Mohammad Hazani Hassan said this co-investment with Gobi Partners will support potential high-growth local technology companies to expand their business, locally and internationally.
Through this co-investment, he said the company will benefit from the extensive business networking and connections from both parties that will further expedite and accelerate the company’s future expansion.
“We support and believe that this co-investment will benefit Malaysia’s local technology companies as their capability to sustain and grow their business in the wake of the recent pandemic is another reason for our continued partnership with them,” he said.
Mohammad Hazani said MTDC would also like to invite other investors to co-invest along, specifically in the technology sector.
Gobi managing partner (Malaysia), Jamaludin Bujang said the co-investment partnership will allow entrepreneurs especially start-ups and small and medium enterprises to receive additional funding, especially in the challenging economic landscape in Malaysia.
“With the launching of the Company’s Secondary Market and IEO platforms this year, this is a key inflection point on the increased popularity of ECF in Malaysia and that is the reason why Gobi and MTDC will be investing in the best ECF platform in the country,” he stated.
Meanwhile, Pitch Platform’s CEO Sam Shafie said MTDC and Gobi Partners bring experience and market reach and the company is confident that their investment will lead to more growth at pitchIN.
“We thank them for their confidence in our vision and look forward to working with them as we roll out upcoming services and planned expansion,” he added.
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