12/12/2025

BIZ & FINANCE FRIDAY | DEC 12, 2025

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Wasco Greenergy upbeat about long-term prospects

Malaysian digital finance sector enters 2026 with changed landscape KUALA LUMPUR: The full rollout of all five licensed digital banks in 2025 has reshaped Malaysia’s digital finance landscape, sig nalling a decisive shift towards a more inclusive and technology-enabled financial ecosystem. The digital banks are GX Bank Bhd, Aeon Bank Bhd, Boost Bank Bhd, KAF Digital Bank Bhd, and Ryt Bank. At the same time, the global cryptocurrency market is projected to maintain its upward trajectory next year. In Malaysia, this outlook is reflected in rising public interest, growing institutional involvement and renewed policy discussions, all of which highlight the nation’s deepening transition into a digital-forward financial era. The arrival of these new five players promises faster adoption of digital banking, heightened competition, greater innovation and a more vibrant digital economy, all while placing fresh responsibilities on regulators and traditional banks alike. Following GXBank’s debut in 2023 and the entry of Aeon Bank and Boost Bank in 2024, KAF Digital Bank commenced operations on Aug 8, 2025, after receiving approval from Bank Negara Malaysia (BNM). Ryt Bank, the nation’s first fully artificial intelligence-powered digital bank, backed by YTL Group and Singapore’s Sea Ltd, started operations on Aug 25, 2025. Digital banks are capturing the public imagination, setting the stage for a more competitive and inclusive financial ecosystem. From high-interest “safe pockets” for savings, rewards points and other perks, many are offering some of the best rates in the market, ranging from 3% to around 4% per annum. Aeon Bank and GXBank have also inked partnerships with insurance providers to serve the underserved by the traditional market. According to industry players, digital banks are now shifting their focus to business accounts, ushering in a new wave of services tailored for micro, small and medium enterprises as well as larger firms. These fully digital and branchless banks are also dismantling barriers for rural communities and gig workers alike. At the same time, AI driven analytics enable financial solutions to be delivered with speed and precision beyond the reach of conventional banks. Beyond personal banking, digital banks are increasingly aligning their services with government initiatives. Most industry players believe this could enable more effective and equitable distribution of subsidies and cash aid, offering an alternative to traditional channels, similar to current e-wallets or MyKad-based systems. Earlier this year, Prime Minister Datuk Seri Anwar Ibrahim stated that the government is considering drafting a policy that, if implemented, would formally recognise both cryptocurrency and blockchain technology in Malaysia. “Digital finance is evolving fast,” he said, adding that Malaysia has to move fast in order not to be trapped in an old financial system. To support this direction, Malaysia has introduced the Digital Asset Innovation Hub to encourage financial innovation within a regulated framework. In a show of resilience, Malaysia’s banks and financial system were largely unaffected by the recent downturn in the cryptocurrency market. The global cryptocurrency market, meanwhile, is expected to maintain its momentum into next year, with institutional adoption likely to deepen following the strong influx of major players over the past two years. – Bernama

o Company unfazed by soft debut on Main Market of Bursa Malaysia

Ű BY DEEPALAKSHMI MANICKAM sunbiz@thesundaily.com

KUALA LUMPUR: Renewable energy engineering specialist Wasco Greenergy Bhd made its debut on the Main Market of Bursa Malaysia yesterday, opening at 95 sen, slightly below the initial public offering (IPO) price of RM1 amid broad market softness. A total of 1.73 million shares were traded at the opening bell. Speaking at a press conference after the listing ceremony, CEO Lee Yee Chong said: “This is a short-term market performance. It is mainly driven by market sentiment and profit-taking. But long term, our funda mentals remain strong. We believe we are going to do better.” The counter closed at 88 sen, 12 sen or 12% lower than the IPO price with 24 million shares traded. Despite the muted debut, the listing marks a major milestone for the syariah-compliant group, which provides engineered steam energy systems and integrated engineering, procurement, construction and com missioning (EPCC) solutions for industrial clients in Malaysia, Indonesia and select overseas markets. Greenergy, formerly operating under Wasco Thermal and Wasco AgroTech, is part of the Wasco Bhd group. Greenergy’s business is anchored in biomass-fired boilers, gas-fired boilers, heat recovery steam generators and Shinko steam turbine generator systems. Its solutions support energy-intensive sectors such as palm oil, oleochemicals, paper milling, food processing and heavy industries that rely on continuous, reliable steam supply. According to Frost & Sullivan, demand for engineered steam systems is expected to grow steadily across Asean, driven by the need for greater operational efficiency and tightening emissions standards. Indonesia, in particular, is seeing rising adoption as the country undertakes industrial expansion and strengthens its renewable energy (RE) regulations. Lee said the company is positioned to ride this momentum, especially as industries move to reduce Scope 1 emissions and replace fossil-fuel systems with biomass alternatives.

Wasco Greenergy non-independent non-executive chairman Halim Din (fifth, left) and Lee (fifth, right) during the company’s Main Market listing ceremony yesterday. – BERNAMAPIC

biomass waste locally,” he said. Indonesia, meanwhile, is pushing B50 biodiesel adoption and expanding its oil palm plantation area by 600,000 hectares, developments that may stimulate further demand for steam energy systems. However, Lee acknowledged that clearer regulatory direction in Indonesia would help accelerate investment decisions. “We will continue to work closely with customers and policymakers to understand the way forward,” he said. The IPO raised RM75 million in gross proceeds. Of this, the largest share, RM38.2 million (50.9%), will be deployed into the company’s Asset Ownership Programme, which involves owning and operating steam plant assets to generate recurring income. A further RM5.5 million (7.3%) will fund expansion in Indonesia, while RM12.5 million (16.7%) will be used to upgrade equipment, machinery and Greenergy’s headquarters in Shah Alam. Greenergy is also planning RM5 million in digitalisation investments. Another RM4 million (5.3%) is earmarked for research and development, with the remaining RM9.8 million allocated for listing expenses. Despite the share price pullback on debut, Lee emphasised the company’s long-term prospects and differentiated market positioning. “Our strength lies in offering integrated solutions from biomass equipment to power generation, boilers and turbines. This gives us a niche and the technical depth to support decarbonisation across industries,” he said. “This listing is a meaningful milestone. We remain focused on disciplined execution and sustainable long-term performance.”

“We are excited to be in this bioenergy segment. With decarbonisation and ESG drivers, plus supportive government regu lations, we see positive momentum,” he said, adding that beyond palm oil, industries are increasingly looking to convert from fossil fuel to biomass technology to reduce carbon emissions. As at September 2025, Greenergy held an order book of RM249 million, with 80-90% derived from renewable-energy projects. The orders comprise steam boiler EPCC jobs, steam turbine solutions and after-sales services. By geography, the turbine business is driven largely by Indonesia, which contri butes around 70% of turbine-related orders, while Malaysia accounts for 70% of boiler orders. In addition, the company continues to serve palm oil players in Latin America and Africa along the equatorial belt. The order book will be recognised progressively over the next two to three years, excluding recurring after-sales orders that flow in monthly. Lee said the company’s financial performance improved in the third quarter following a slower first half, which was affected by regulatory adjustments in Indonesia. “Overall, for the nine months, revenue was slightly lower but profitability was slightly higher. We expect performance to return to normal levels moving forward.” Lee noted that the policy environment remains supportive for biomass and renewable energy. In Malaysia, the government recently rolled out a 300MW RE quota, of which 150MW is allocated for biomass. “Biomass energy is very much relevant to Malaysian industry. We have industrial users who need steam, and we have abundant

Vertiv to boost Asia footprint with factory in Johor PETALING JAYA: Vertiv, a provider of critical digital infrastructure and continuity solutions, plans to expand its manufacturing footprint in Asia through the establishment of a manufacturing facility in Johor. customers in fast-growing markets across the region, enable faster delivery times, expand capacity, and support next-generation technologies such as AI and machine learning. Johor’s proximity to Singapore, developed logistics networks, and reliable utilities make it ideal for scalable tech manufacturing. and developing its workforce to support the new facility, with expectations to create up to 500 local skilled jobs over the next three years.

It added that the factory will also utilise modern automation technologies, resulting in an efficient and streamlined production environment that will focus on operational and manufacturing efficiency, enabling Vertiv to scale quickly while maintaining quality and environmental responsibility. “A facility of this importance depends on a highly skilled and engaged workforce, and we’re proud to be creating meaningful, high value jobs in the region that support both our long-term growth and Malaysia’s broader economic ambitions,”Whall said.

Scheduled to be fully operational in first quarter 2026, the facility will manufacture a range of Vertiv power and thermal management solutions, including coolant distribution units (CDU), as well as modular and prefabricated data center deployment solutions. This expansion aligns with the company’s growth and capacity expansion strategy, driven by surging demand for AI-ready, high density computing infrastructure. The Johor facility will play a pivotal role in bolstering Vertiv’s production capabilities to serve

“This new facility represents a major milestone in Vertiv’s global manufacturing network. It gives us the scale, flexibility, and proximity we need to meet our customers’ needs quickly and reliably,” said Vertiv Asia vice-president of operations, Andrew Whall, adding that it also represents Vertiv’s steady investment in continuous growth and manufacturing excellence. Vertiv said it is committed to growing