KUALA LUMPUR: Orion IXL Bhd
's Sukaniaga Sdn Bhd has secured a contract from Angkatan Koperasi Kebangsaan Malaysia Bhd (Angkasa) to develop and manage an electronic online loan application system.
Sukaniaga had on Thursday signed a joint-venture (JV) agreement with Angkasa's unit MyAngkasa Holdings Sdn Bhd to develop and implement the “Sistem E-Angkasa Digital Az-Zahra” for use by members of Angkasa.
Orion IXL said Sukaniaga, would provide exclusive online digital end-to-end solutions – from the stage of loan application to the loan approval process – for 15 years. This would be via a build, operate and maintain business model.
Sukaniaga is an affiliate company of Ganda Integrasi Sdn Bhd, which is wholly owned by Orion IXL – a technology and business solutions provider. Angkasa represents the country’s cooperative movement at the national and international levels.
Sukaniaga and MyAngkasa will set up a company to undertake the project in which the former will hold a 75% stake and the latter 25%.
Orion IXL group CEO Mohamad Shaharul Mohamad Shariff said Sukaniaga would be responsible for the development, management, operation and maintenance of the Sistem E-Angkasa Digital Az-Zahra.
“The integrated digital financial system (fintech) will enable Angkasa to boost the speed and efficiency of processing loan applications from eligible cooperatives and members of cooperatives and increase the number of loan applications itself,” he added.
The JV company will have a five-member board of directors, comprising two from MyAngkasa and three from Sukaniaga.
The JV company will undertake to apply for relevant approvals for the Sistem E-Angkasa Digital Az-Zahra and also for approval from Angkasa for the integration between the Sistem E-Angkasa Digital Az-Zahra with any of the existing systems in Angkasa.
According to Suruhanjaya Koperasi Malaysia's latest annual report, there are 650 credit and non-credit cooperatives operating with around RM3.9bils in loan disbursed in a year.
The project is expected to start contributing to Orion IXL’s bottom line for the financial year ending June 30, 2019.