PETALING JAYA: Kenanga Investment Bank Bhd has received Bank Negara’s approval to acquire an additional 15.2% equity interest in Merchantrade Asia Sdn Bhd, the country’s largest Money Services Business (MSB) operator and leading player in the digital payments space.
Upon completion of this acquisition, the group’s aggregated equity holding in Merchantrade will increase to 19.94% from 4.74%, positioning it as the second-largest shareholder after managing director and founder, Ramasamy K. Veeran, said Kenanga Investment Bank.
“The increased equity interest in Merchantrade reflects Kenanga group’s commitment to deepening its relationship with the company and underscores the group’s dedication to fostering partnerships within the financial ecosystem, with the aim to explore synergies and expand innovative offerings,” it said.
In the same statement, Kenanga Investment Bank group managing director Datuk Chay Wai Leong said Kenanga group and Merchantrade share a common vision and ambition to drive digital innovations and reshape the financial industry.
“Our increased equity interest in Merchantrade underscores our commitment to leveraging emerging technologies to revolutionise the way financial services are delivered.
“Together, we are poised to accelerate our collective efforts in delivering innovative solutions and enhancing the digital experience for our customers.”
As the country’s largest MSB operator and leading player in the digital payment space, Chay said Merchantrade is known for its innovative solutions.
“With a vast customer base exceeding five million since its inception, the company serves its clientele through digital platforms, app-based channels, and an extensive nationwide physical network.
“Merchantrade’s core services encompass international money transfers, foreign currency exchange, e-wallets, payment gateway services, micro-insurance as well as mobile telecommunications via its subsidiary, Valyou Sdn Bhd.
“Through strategic partnerships, the company has established a comprehensive ecosystem of digital financial products tailored for individuals, as well as small and medium enterprises, large corporates, financial institutions and more.”