KUALA LUMPUR: Datasonic Group Bhd
plans to acquire a 51 per cent stake in Innov8tif Holdings Sdn Bhd for RM40 million, an artificial intelligence (AI)-driven digital identity solutions provider, as part of its transformation plan.
The company said it wants to emerge as a leader in physical and digital identity markets with an AI-based and digital-centric identity management ecosystem focusing on data and security, "enabling it to deliver complete, secure end-to-end identity and security solutions for governments and enterprises."
It noted that Innov8tif’s technologies, including Electronic Know Your Customer (e-KYC), facial recognition, document authentication and fraud detection, have been delivered across a broad portfolio of customers across ASEAN countries, including public-listed companies, banks and credit bureaus.
"The planned acquisition will give the group immediate access and penetration of new markets in banking, telecommunications, and credit reporting, positioning the group to secure new projects related to integrated identity verification, biometric security, and digital onboarding services for enterprises and governments," it said in a statement.
The company also intends to make strategic investments that would broaden the group’s market presence, increase its portfolio of products and services, and accelerate its internal research and development activities.
This will be supported by a capital exercise to raise RM554.95 million through the bonus issue of up to 1.55 billion warrants on the basis of one warrant for every two shares held by shareholders.
Datasonic said it has redesignated independent non-executive director Datuk Puvanesan Subenthiran as executive director immediately, as part of the proposed transformation plan.
"Datuk Puvanesan is the group chief executive officer and co-founder of Privasia Technology Bhd with over 25 years of experience in strategic planning, mergers and acquisitions, and would oversee the company’s technology strategy," it said.
Datasonic executive deputy chairman and chief executive officer Datuk Hanifah Noordin said by leveraging next-generation technologies such as AI, the company would play a key role in national digital transformation initiatives such as MyDigital ID, "ensuring we remain at the forefront of delivering value to our stakeholders and supporting Malaysia’s digital economy aspirations."
“The planned transformation will leverage our stellar operating record and expanding range of capabilities to significantly improve the group’s growth prospects and create a more competitive, resilient organisation.
"Ultimately, it will also provide a platform to capitalise on the growing demand for digitalisation among international governments, as well as the group’s expansion into the commercial sector, unlocking new market opportunities in Malaysia and globally," he said. - Bernama
