KUALA LUMPUR: Datasonic Group Bhd (DGB) shareholders approved the allocation of employee share option scheme (ESOS) options to executive deputy chairman and CEO Datuk Abu Hanifah Noordin and executive director Erna Ismail.
However, shareholders rejected the allocation of ESOS options to independent non-executive director YM Tunku Datuk Nooruddin Tunku Dato’ Seri Shahabuddin.
At the company’s extraordinary general meeting, the resolution failed to pass with 42 shareholders, representing 75.99% of voted shares, against the proposal.
53 shareholders, representing 24.01% of voted shares, voted in favour of the proposal.
Moving on, DGB also announced a transformation plan that will see the group emerge as a leader in physical and digital identity markets.
The plan involves 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.
The plan also aligns with the government’s initiatives, such as MyDigital ID and the Malaysian Digital Economy Blueprint.
To support the proposed transformation plan, Datasonic intends to make strategic investments to broaden the group’s market presence, increase its portfolio of products and services, and accelerate its internal research and development (R&D) activities.
This is supported by the exercise to raise up to 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.
Abu Hanifah said the transformation of our Group will align the company’s vision with the growing demands of a digital-first world.
“By leveraging next-generation technologies such as AI, we are positioning ourselves to 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 in a statement.
The first step in the group’s transformation is acquiring a 51% equity stake in Innov8tif Holdings Sdn Bhd (IHSB) for RM40 million.
IHSB is a pioneer in AI-driven digital identity assurance and customer onboarding solutions.
IHSB technologies, including e-KYC, liveness facial recognition, document authentication, and fraud detection, have been delivered to a broad portfolio of customers in Asean countries, including public-listed companies, banks, and credit bureaus.
As a result, the planned acquisition will give the group immediate access and penetration of new banking, telecommunications, and credit reporting markets.
It also positions the group to secure new projects related to integrated identity verification, biometric security, and digital onboarding services for enterprises and governments.
As part of the transformation plan, the group has immediately redesigned independent non-executive director Datuk Puvanesan Subenthiran as executive director.
Puvanesan is the group CEO and co-founder of Privasia Technology Bhd, an information technology company listed on Bursa Malaysia.
He has over 25 years of experience in strategic planning, mergers and acquisitions and will oversee the group’s technology strategy.
In line with the group’s planned transformation, DGB has also proposed changing the company’s name to NexG Bhd.
This name change will reflect the group’s intention to be a leader in integrating next-generation technologies, such as AI, into government and commercial applications.
