Malaysia:DagangHalal set to be world’s largest digital halal marketplace

| 30/04/2016 | Reply

KUALA LUMPUR: DagangHalal Plc is poised to become the world’s largest digital Halal marketplace and a focal centre for the -1global halal industry following a successful listing in London, says managing director Datuk Muhadzir Mohd Isa.

With the listing, DagangHalal is now well-positioned to capitalise on the growth in global ecommerce sales, which are expected to reach US$4.9 trillion (RM19.1 trillion) in 2020.

“We believe we are in the right industry, and that we have the right business model and the right footing to benefit from the rising spending power of Muslim consumers which is projected to increase to US$5.3 trillion by 2020,” he said at a media briefing in Kuala Lumpur on Thursday.

DagangHalal, the world’s first global e-marketplace to address the need for halal verification, was successfully listed on London’s ICAP Securities and Derivatives Exchange (ISDX) Growth Market on April 7, at a placing price of 25p.

Gross proceeds of about £4.2mil (RM23.8mil) have been raised by way of a subscription of £3.9mil from Malaysian investors and a placing of £0.3mil from UK investors.

The subscription raised about RM22.4mil as part of a  pre-admission fundraising including about RM5.4mil from the Malaysia Technology Development Corp, a wholly-owned subsidiary of Khazanah Nasional Malaysia, the sovereign wealth fund of the Government.

DagangHalal chief executive officer Mohamed Hazli Mohamed Hussain at the same briefing said the purpose of the listing on London ISDX was for the company to easily gain global recognition and endorsement, and to help highlight DagangHalal’s business profile worldwide.

He said net proceeds of about £3.6mil (RM20.4mil) from the listing will be used to accelerate the company’s growth strategy and expansion plan into new territories, and to further develop the Group’s platform, products and proprietary technology.

“Proceeds from the listing will be used to upgrade our halal certificate repository system which includes a halal verified engine (HVE) and halal certificate management system (HCMS), to further develop the current e-commerce platform and a new mobile application for the consumer.

“Collaboration agreements with other certified bodies (CBs) will also be expanded, growing the group’s ecosystem in existing core markets, by expanding activities into new geographies targeting Indonesia, China and Japan, through increasing the number of Halal CB partners,” he said.

The HVE was jointly developed by DagangHalal and the Department of Islamic Development Malaysia (Jakim).

Collaboration agreements have been signed with 36 out of 70 international CBs recognised by Jakim.

“The group’s overall objective is to promote halal trade by facilitating and simplifying halal business transactions anywhere and anytime, through the usage of information technology.

“Ultimately, the company aims to anchor a World Digital Halal Exchange by 2020,” he added. – Bernama

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Category: Asia, Finance & Investment

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