KUALA LUMPUR: Alphacapital (M) Bhd's subsidiary Alpha Nagara Sdn Bhd has partnered with Nusa Kapital Sdn Bhd, a syariah-compliant peer-to-peer platform, to establish a working capital fund amounting to RM60 million.
Alphacapital director Syed Mahadzir Fadaak said this move, overseen by Rakyat Trustee Bhd, highlights Alpha Nagara's role as a precious metal refinery and its standing in the precious metals sector.
He added that Nusa Kapital, which is a registered market operator with the Securities Commission, has agreed to help finance Alpha Nagara.
"This interest stems from Alpha Nagara's unique position as the sole manufacturer of precious metal refineries in Malaysia. This strategic collaboration signifies the convergence of innovative financial solutions and robust manufacturing expertise.
"It involves a total working capital investment of RM60 million, with RM5 million allocated to small investment notes aimed at enhancing Alpha Nagara's production capacity over 12 months," he said at the signing of a memorandum of understanding (MoU) on the partnership.
Syed Mahadzir noted that the working capital will be used to manufacture its unique brand of bullion bars called "Fadaaq Gold".
He said the funds will be allocated for the purchase of raw materials such as used gold, expired bars and dore gold, which will be subsequently resold in the market.
"This is because the quality of the used gold could be sub-par, so we need to add more gold to meet the 999.9 standard," he added.
Additionally, Syed Mahadzir said the infusion of working capital is anticipated to significantly bolster Alpha Nagara's annual revenue.
"With this unique product, Alpha Nagara has established itself as a leader in the industry, appealing to customers who value exclusivity, quality and authenticity. This partnership reinforces Alpha Nagara's dedication to quality, innovation and ethical business practices as it continues to shape the precious metal manufacturing industry," he said.
According to Syed Mahadzir, investors are putting money into Malaysia's precious metal industry, marking a new era and this is expected to be bolstered through the partnership with Nusa Kapital.
He added that Alpha Nagara aims to revolutionise precious metal manufacturing with a focus on sustainability and advanced technology, supported by its parent company, Alphacapital.
"This strategic investment not only helps Alpha Nagara reach new heights but also demonstrates Nusa Kapital, Rakyat Trustee and Alphacapital's joint commitment to supporting Malaysia's social, technological and economic advancement.
"These cooperative efforts, as Alpha Nagara develops further as a leader in the industry, pave the way for a time in the future when socially conscious business practices, innovation and innovation flow together harmoniously," he noted.
Meanwhile, Nusa Kapital co-founder Syafiq Shahabudin said this is a significant achievement, and the partnership marks a pivotal step in positioning the company within the industry.
"We believe that this collaboration will attract more investors and, as a new company, it is important for us to promote such strategic partnerships. We hope this partnership will give us a trajectory to grow further and get more investors in the future," he said.
Alpha Nagara integrates foundry, refinery and manufacturing into various control production lines under a fully integrated manufacturing concept.
It produces precious metal hallmark bars and soon minted coins, wafers, and strips, including other customised-related products.
The company also serves jewellers, pawnbrokers and various industries that use gold and silver in the course of their business.
For more information, visit the Alphacapital (M) Bhd website at www.myalphacapital.com and the Alpha Nagara Sdn Bhd website at www.alphanagara.com or call 603-50376890.