Kenanga IB acquires stake in Merchantrade Asia

28 Oct 2020 / 18:50 H.

PETALING JAYA: Kenanga Investment Bank Bhd (Kenanga IB) has acquired a 4.99% stake in Merchantrade Asia Sdn Bhd, Malaysia’s leading e-money player and the country’s largest money services business operator.

This follows Kenanga’s recent collaboration with Merchantrade to introduce Malaysia’s first stockbroker e-wallet Kenanga Money.

“Merchantrade is one of the fastest growing digital payment and remittance brands in the country. Constantly on the forefront of digitisation and driving innovation in financial services, they are rapidly making waves across Asia in a segment projected to experience exponential growth. We are excited to be able to partake in the flourishing prospects of Merchantrade and look forward to exploring more digital opportunities together,” commented Kenanga IB group managing director Datuk Chay Wai Leong (pix).

Also backed by other shareholders that include Celcom Axiata Bhd and Sumitomo Corporation of Japan, Merchantrade serves a customer base of over three million through its digital online and app-based channels and extensive nationwide physical network. A well-trusted household name, it is rapidly expanding its footprint, which includes its recent acquisition of additional stake in Singapore’s mobile remittance service, KLIQ Pte Ltd, as well as its recent 100% acquisition of local leading digital remittance player, Valyou Sdn Bhd from the Telenor Group.

With this acquisition, Merchantrade will have a combined annual remittance turnover of more than RM11 billion and a network of over 1,700 touchpoints, solidifying its position as the largest remittance player in the country.

“Both homegrown brands with sights set on digital innovations, there is tremendous synergy between Kenanga and Merchantrade, from our business models, product line-up and corporate values. However, it is the underlying shared vision and ambition we have to reshape the financial space through emerging technologies, that will power the many other exciting collaborations in the pipeline,” continued Chay.

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