PETALING JAYA: Private equity firm Creador has acquired a 14.7% equity interest in CTOS Digital Bhd (CTOS) for RM1.35 per share.
Creador said in a statement today that the acquisition was made via a rollover of its investment from Creador II, its second fund, to its fifth fund Creador V, which was launched in July 2021.
“We are confident of CTOS’ growth potential in Malaysia, given the increasing digitalisation of the financial services industry and improving financial literacy among Malaysians,” Creador said.
The firm also sees significant opportunities in Asean, where penetration of credit bureau solutions is still relatively low.
“Creador remains highly committed to supporting CTOS in its pursuit of growth and plans to continue to be a long-term investor,” it added.
Creador II was launched in August 2013 and is approaching the end of its 10-year fund life in August.
The fund first invested in CTOS in August 2014, and Creador has been an integral part of the company’s success and sustained performance.
Over the past nine years, CTOS, with Creador’s support, has implemented and executed significant growth initiatives, including introducing new sophisticated analytics and scoring products and acquiring complementary assets such as Juris Technologies, Basis Corporation, RAM Holdings and Business Online PLC in Thailand.
As a result, CTOS’ revenue grew to RM195 million in 2022 from RM49 million in 2014 by providing credit solutions to a diverse range of industries including banks, non-banking financial institutions, telecommunication, insurance companies and buy-now-pay-later companies, among others.
CTOS was listed on Bursa Malaysia in July 2021 at RM1.10 a share, raising RM1.2 billion.
The company’s market capitalisation as of April 19 was RM3.1 billion.