Tencent-backed Linklogis, Sunway to jointly seek Malaysia digital bank licence-sources

Linklogis

29/06/2021 09:49

By Anshuman Daga and Pei Li
    SINGAPORE, June 29 (Reuters) - Malaysian conglomerate Sunway
Bhd  SWAY.KL  has teamed up with Tencent-backed Chinese fintech
firm Linklogis Inc  9959.HK  and Bangkok Bank PCL  BBL.BK  to
apply for a Malaysian digital bank licence, two sources with
knowledge of the matter said.
    Sunway will hold a majority stake in the venture, said the
sources, who requested anonymity as names of the consortium
members haven't been reported.
    The group joins a crowded field of hopefuls vying for up to
just five licences on offer in the Southeast Asian country.
    Malaysia is the latest to embrace online-only banking
services after Singapore, Philippines, Hong Kong and other Asian
countries, with the entry of technology firms seen shaking up
their often staid markets.
    Malaysia's banking sector is dominated by Maybank  MBBM.KL ,
CIMB Group Holdings  CIMB.KL  and Public Bank Bhd  PUBM.KL .
    The country's central bank https://www.bnm.gov.my/-/policy-document-on-licensing-framework-for-digital-banks
 has said it would issue up to five licences by early 2022 and
the deadline for the applications is the end of this month.
    When asked for a comment, Sunway, which has property,
healthcare and education businesses, referred to a statement
issued earlier this month in which it said it would apply for an
online-only banking licence with partners to expand in the
fintech sector, but it did not name them.  urn:newsml:reuters.com:*:nL1N2IK0T1
    Sunway owns and manages an online remittance firm and has a
subsidiary that provides loans to business partners. It is also
the majority shareholder of Credit Bureau Malaysia.
    Hong Kong-based Linklogis, which specialises in supply chain
finance, declined to comment and said it would share details
with the market "at the appropriate time." Chinese tech behemoth
Tencent is its biggest shareholder with a nearly 15% stake.
    Tencent declined to comment.
    Linklogis was part of a consortium that was granted a
Singapore digital wholesale bank licence. The bank is due to be
launched in 2022.  urn:newsml:reuters.com:*:nL1N2IK0T1
    There was no immediate response to a Reuters query sent to
Bangkok Bank on Tuesday.

 (Reporting by Anshuman Daga in Singapore and Pei Li in Hong
Kong; Additional reporting by Chayut Setboonsarng in Bangkok;
Editing by Sumeet Chatterjee and Mark Potter)
 ((anshuman.daga@tr.com;))