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Hello readers,
As a born and bred Singaporean, going to Malaysia has always been a regular enjoyment of mine (at least until the pandemic hit). Our neighbor to the north has always provided a diverse landscape of awesome food and experiences in nature, something I truly appreciate when getting away from the bustle of city life.
In the last few years, Malaysia has been adding to its repertoire of attractions, especially when it comes to providing a healthy environment for startup growth. The Malaysian government has been expanding its efforts in this area through national venture capital funds, a startup hub known as MaGIC, and a dedicated government body to support digital adoption.
Today’s premium story places these efforts under the microscope to ask the all-important question: Have they paid off?
Today we look at,
- How Malaysia’s efforts to grow its startup space are faring thus far
- Brand acquisition company Una Brands beefs up its buying power
- Other newsy highlights such as the fresh funding for Singaporean firm uParcel and Siam Commercial Bank’s entry into the wild world of cryptocurrencies
Premium summary
A brighter startup horizon in Malaysia?
Image credit: Timmy Loen
In 2014, Southeast Asian super app Grab left Malaysia and set up its headquarters in Singapore, citing difficulties in fundraising for the move. Much has changed in Malaysia since then. Earlier this year, used-car marketplace Carsome became the country’s first tech startup unicorn since Grab – an achievement that could be a benchmark in Malaysia’s endeavor to build a successful startup ecosystem.
- Too many cooks could spoil the broth for Malaysia. With over 60 different government agencies that cover startups across the country, many of these agencies have overlapping functions and unclear roles, causing confusion among businesses and observers alike.
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Successes so far: That’s not to say that these government agencies haven’t been useful. Through these government bodies, international VCs like Gobi Partners and 500 Southeast Asia have been introduced to the country, with the latter having 43 Malaysian startups in its portfolio. Malaysia Venture Capital Management, a national VC fund, is also responsible for investments in over 1,000 startups to date, one of them being Carsome.
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Following in Carsome’s footsteps: With Carsome now part of the unicorn club, the attention has turned to other potential startups that could follow in its wake. These include the likes of logistics platforms TheLorry and EasyParcel, as well as drone tech company Aerodyne Group, which is currently raising a US$100 million round that could boost it to unicorn status.
Read more: Are Malaysia’s startup efforts finally paying off?
A fatter wallet for Una Brands
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