KUALA LUMPUR, 29 July 2016 – Green Lagoon Technology Sdn Bhd (GLT) has become the first biotechnology company in Malaysia to successfully raise funds through an equity crowdfunding platform on CrowdPlus.asia after its campaign ended today. Since launching its equity crowdfunding offer on 21st June 2016, GLT is now 200% funded as of 22 July 2016, and has surpassed its minimum target of RM400,000, with GLT’s overfunded campaign performing above expectations. With facilitation by Malaysian Bioeconomy Development Corporation (Bioeconomy Corporation, formerly known as BiotechCorp), GLT’s success marks a significant breakthrough in terms of fund sourcing in the biotechnology industry, particularly for the biotechnology industrial (bioindustrial) sector.
GLT specializes in biogas trapping, harvesting, storage, treatment and utilization, to assist palm oil mills in managing their biogas emissions and optimizing their wastewater to generate renewable income streams and also to help in carbon reduction monitoring. The company has a proven track record of having completed more than 10 biogas projects. Through the raised funds via CrowdPlus.asia, GLT is seeking to exercise its call option in 2 existing 1MW biogas plants located in Pahang to 40% each.
GLT is currently in the process of obtaining the BioNexus Status, which is a special accreditation given to international and Malaysian bio-based companies that qualify them for fiscal incentives, grants and guarantees administered by Bioeconomy Corporation, including ten years of 100 percent tax exemption, freedom of ownership to source funds globally and to bring in knowledge workers, as well as access to shared laboratories and other related facilities.
“The superlative success of this fund-raising campaign had really surpassed all our expectations,” said GLT CEO Chan Sow Keong. “We know that we have a very strong and sound business model, and we know that there are genuine investors out there looking for opportunities to invest into companies like ours. All that was needed was the right platform to bring the two together, and we found it. We want to expand our business even more, and we will need more funds to do so. We hope that the next rounds of fund-raising can allow us to meet even more like-minded investors.”
Bryan Chung, COO of CrowdPlus.asia said, “We are delighted to witness the successful fund raising of GLT as ASEAN’s first green technology company to be equity crowd-funded (ECF), and this bears testament to the fact that ECF in the biotech space is indeed possible. CrowdPlus.asia, through careful planning and marketing, took the bold step of listing a company in a truly niche market and with this, looks forward to replicating this success with other biotech companies as well.”
Acting Chief Executive Officer of Bioeconomy Corporation, Tuan Syed Agil Syed Hashim, said, “The crowdfunding achievement signifies the overwhelming acceptance of biotechnology by the investing community and will catalyse further growth in the equity crowdfunding and bioindustrial development in Malaysia. GLT’s accomplishment demonstrates the efficacy of ECF in overcoming funding challenges in the bio-based industry, and we hope more companies under Bioeconomy Corporation’s facilitation will explore this funding method to strengthen their business.”
GLT’s crowdfunding success plays a significant part in pushing the biogas industry forward in Malaysia. Biogas has been identified as one of the key elements under the National Key Economic Areas (NKEA) and the Bioeconomy Transformation Programme (BTP), both of which aim to transform Malaysia into a high-income status nation. The total potential market for the biogas industry in Malaysia is estimated to be RM8.3 billion (USD 2.3 billion) by the year 2022, with the global biogas market expected to reach RM120.1 billion (USD 33 billion) by the year 2022.