The Securities Commission Malaysia (SC) and TERAJU Bumiputera Corporation (TERAJU) have jointly agreed to facilitate better access to capital market financing for Bumiputera micro, small and medium enterprises (MSME) and mid-tier companies (MTC) through a Memorandum of Understanding (MoU).
The two-year MoU supports the SC’s ‘Catalysing MSME and MTC Access to the Capital Market: 5-Year Roadmap (2024-2028)’ (Roadmap), which is aimed at increasing MSME and MTC market-based fundraising to RM40 billion in 2028. In addition, this partnership supports SC’s capacity building initiatives as outlined under the Roadmap aimed at enhancing the readiness of MSMEs and MTCs for capital raising.
The tie-up also aligns with the 13th Malaysia Plan aspirations to scale up SMEs and enable Bumiputera entrepreneurs to compete regionally and globally.
Dato’ Mohammad Faiz said that Bumiputera companies have significant potential to scale, and capital market financing can be an important catalyst for their next phase of growth. “Through this collaboration with TERAJU, we aim to build a stronger pipeline of investment-ready companies that can raise funds, expand their businesses and compete regionally,” he said.
TERAJU’s CEO Encik Junady Nawawi said, “This collaboration opens up new pathways for Bumiputera companies to expand beyond traditional financing. By working together with the SC, we are preparing more Bumiputera enterprises to access capital market opportunities with stronger governance, sharper financial discipline, and the confidence to compete regionally and globally.”
A key outcome from this collaboration is to strengthen the fundraising readiness and leadership capacity of Bumiputera companies.
This will be achieved through targeted capacity building initiatives, including the creation of the Elevate–TERAJU cohort under the SC’s Elevate programme, led by Capital Markets Malaysia (CMM), an SC affiliate.
The Elevate programme is an executive leadership and fundraising readiness programme that help MTCs and SMEs strengthen their business strategy, governance, and financial management to meet the standards expected by investors.
Since its launch, five cohorts, comprising 78 companies have now successfully completed the Elevate programme. Under this initiative, 20 Bumiputera companies from the manufacturing, healthcare, engineering and technology sectors has been selected for the inaugural Elevate–TERAJU cohort, marking the first step toward broader participation in Malaysia’s capital market.
The MoU will cover the following areas:
- Build a strong pipeline of Bumiputera companies with the potential to access capital market financing.
- Explore financing avenues through potential co-investment opportunities with private investors, to support the growth and expansion of Bumiputera companies.
- Support sustainability disclosures for companies through the adoption of the SC’s Simplified ESG Disclosure Guide and targeted capacity-building programmes.
