KUALA LUMPUR: The Johor Corporation (JCorp) is pumping RM10 million into the Axiata Digital Innovation Fund (ADIF) as the fund nears its target of achieving a size of RM100 million.
JCorp today signed the deal with Axiata Group Berhad (Axiata) and Malaysia Venture Capital Management Berhad (MAVCAP) to support the government’s objective of building a comprehensive digital ecosystem to support the country’s growing digital economy.
In a press statement, Axiata said that ADIF aims to help build up the capabilities of local digital companies to become successful regional and international players.
The RM10 million investment in ADIF by JCorp is in addition to the RM50 million and RM20 million committed by Axiata and MAVCAP, respectively, "with the remaining to be raised from other principal investors to achieve the RM100 million target fund size", Axiata said.
Axiata Group's group chief executive officer, Tan Sri Jamaludin Ibrahim, said that JCorp's commitment is symbolic of their support and belief in the objectives of ADIF.
“Geared towards becoming a New Generation Digital Champion, Axiata is in an excellent position to collaborate with innovative and high-potential digital companies to help them become profitable and sustainable.
“By 2020, Axiata hopes to nurture and fund a substantial number of Bumiputera and Malaysian digital services businesses with an end goal of building four to five regional champions. Going by the early successes of ADIF, Axiata has replicated the fund model in Cambodia through our operating company, Smart Axiata,” Jamaludin added.