PUC Bhd has agreed to invest RM90 million in Celcom Planet Sdn Bhd (CPSB), which owns the online 11Street Malaysia platform, and taking over management control in the e-commerce platform.
11Street Malaysia is a joint venture between Axiata Digital Services Sdn Bhd (ADS) and SK Planet Global Holdings Pte Ltd (SKP).
The cash deal will be funded through internal funds, bank borrowings, equity and/ or debt fundraising, PUC noted in an exchange filing yesterday.
PUC will have the right to nominate and appoint the CEO and CMO of the e-commerce platform.
PUC will be appointed as the platform’s preferred partner, providing 11Street Malaysia with digital marketing needs, and its mobile application Presto as the marketplace’s preferred payment platform as well as technology needs.
From 2015 to 2017, 11Street reported a 300% growth in gross merchandising value (GMV), 160% growth to over 13 million product listings and 200% increase to 40,000 merchants.
As of Dec 31, 2017, 11Street Malaysia recorded a GMV of RM427 million and 13.5 million total monthly unique visitors in December 2017.