ASX-listed fintech Raiz to exit Malaysia

ASX-listed fintech Raiz to exit Malaysia

ASX-listed fintech Raiz Invest have announced that it will exit from Malaysia to focus on its Australian business.

The Raiz Malaysian business is operated as a joint venture (JV) with Jewel Digital Venture Sdn Bhd (JDV) and Raiz Invest Australia Limited, a wholly owned subsidiary of Raiz Invest Limited (Raiz).

Raiz has previously advised that a strategic review of this business was underway and following completion of that review, the JV partners have agreed to close the business.

The Malaysian entity has sufficient capital to fund the expenses relating to the closure with JDV having previously committed a further RM3 million to ensure a structured, coordinated and timely wind down process. A comprehensive and orderly closure process will be implemented in phases to ensure the secure and efficient handling of client assets.

The exit will not impact the P&L of Raiz Australian operations, and Malaysian operations will be classified as discontinued operations in Raiz’s financial report.

Commenting on the ext, Brendan Malone, Raiz Invest Managing Director and CEO said, “The decision to close the Malaysian Operations will enable Raiz to focus on strengthening and expanding its Australian business.

“With our continued product innovation and our marketing campaign, we are confident the Raiz Australian business will continue to grow and deliver a strong economic performance for shareholders.

“On behalf of the board, I would like to thank our partner for their role in the joint venture partnership over the last 4 years.”