Magma eyes future growth

KUALA LUMPUR: Magma Group Bhd plans to among, others, acquire land in Persiaran Dutamas, Kuala Lumpur as it steps up effors toward diversifying its portfolio and ensuring sustainable growth.

This can help Magma take the lead in the hospitality industry into a new era, underscoring innovative experiences, growth, sustainability and shared success, group managing director Datuk Seri Thomas Liang Chee Fong said.

"Part of our future plans includes the proposed acquisition of land in Persiaran Dutamas. This is a significant step toward diversifying our portfolio and ensuring sustainable growth," he said in an interview with Business Times.

"We are looking at acquiring a 2.26-acre parcel there, which reflects our intent to diversify and grow responsibly. These proposals, pending approval, are steps toward ensuring Magma remains resilient and well-prepared for future opportunities," he added.

Magma, he said, strives to be a pioneer in the industry and establish new benchmarks through innovative ideas and strategic partnerships.

"We're deeply committed to preserving and elevating our iconic brands, Impiana Hotels and WOLO, and blending Malaysia's unique culture with innovation to create meaningful experiences. This is core to our identity, and we will continue to embrace it in every opportunity we pursue.

Magma Group was previously known as Impiana Hotels Brand prior to its rebranding in December 2023.

Liang said the revamp reflects a more focused vision for the company's future while staying true to Malaysia's rich cultural heritage.

"Through our subsidiary, Magma Hospitality Management, we oversee a growing portfolio, including Impiana Hotels in KLCC, Ipoh and Senai.

"Early in 2024, we also leased WOLO Kuala Lumpur, a move that reinforces our commitment to creating vibrant and meaningful guest experiences that resonate with modern travellers," he said.

Having WOLO Kuala Lumpur in its portfolio was one of the key milestones that the company achieved last year.

Liang said the property has not only enhanced its market presence but also received an Agoda Customer Review Award with a score of 9.1.

Meanwhile, Liang said the company had taken several decisive steps in 2024 to strengthen its foundation for sustainable growth.

Among its notable moves was the redeemable convertible notes (RCN) at its extraordinary general meeting in September. This allowed the company to raise up to RM100 million for refinancing, facility upgrades and working capital.

To date, Magma has raised RM28.1 million, which Liang said signals strong market confidence in its direction.

"We also proposed a capital reduction of RM380 million to eliminate accumulated losses and optimise our balance sheet.

"On top of that, we're looking to acquire a 2.26-acre parcel of land in Persiaran Dutamas, which reflects our intent to diversify and grow responsibly. These proposals, pending approval, are steps toward ensuring Magma remains resilient and well-prepared for future opportunities," he said.

Moving forward, Liang said the company is optimistic about the future of Malaysia's hospitality sector, especially with the government's continued support.

"Magma Group is eager to be part of the momentum driving this progress, shaping the industry for the long term. Events like "Visit Perak Year 2024" have already shown how tourism is helping local economies and connecting us with more travellers.

"Looking ahead, Malaysia's Asean Chairmanship in 2025 presents a great opportunity to raise the country's global profile. Initiatives like "Visit Selangor Year 2025" are especially exciting, with a focus on sports tourism and a target of eight million tourists. This shows just how dynamic and diverse the industry can be," he added.

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