MIDA, Bursa and CMM encourage local companies to explore alternative fundraising
15 Feb 2022
The Malaysian Investment Development Authority (MIDA) wants to provide opportunities for businesses to learn, evaluate and consider raising capital through public and private markets, as well as market-based financing options such as equity crowdfunding (ECF) that are registered with the Securities Commission.
The investment agency recognises the financial challenges faced by the domestic industry players, particularly small and medium-sized enterprises (SMEs) and mid-tier companies (MTCs), in executing their business expansion plans, its director of domestic investment division Sukri Abu Bakar said.
“MIDA’s domestic investment coordination platform or DICP aims to bridge businesses, technologies and research capability with capital funding sourced from the public and private markets,” he said in a statement on Tuesday (Feb 15). “We continuously work with local regulators, technology providers, and financial institutions to drive business growth by facilitating business support services to SMEs, crucial to domestic direct investments, which bring significant economic growth.”
MIDA through DICP with Bursa Malaysia and Capital Markets Malaysia (CMM), an affiliate of the SC, have kickstarted their seminar series on “Business Growth through the Malaysian Capital Market”.
The inaugural seminar, held in Port Dickson, Negeri Sembilan, was jointly organised with Invest Negeri Sembilan and attracted 35 companies from Negeri Sembilan, as well as Melaka.
MIDA anticipates to organise more seminars throughout the country in 2022.
The director of the securities market of Bursa Malaysia Azhar Mohd Zabidi said the initiative is a great way to increase awareness and create a better understanding among SMEs and MTCs throughout Malaysia to ultimately tap the Malaysian capital market through various channels including initial public offerings (IPOs).
“IPOs will not only facilitate the raising of capital to help fulfil growth strategies but also open doors to new opportunities for the companies at different stages of growth,” he said.