a day ago
- Business
- New Straits Times
NexG to build RM250mil plant, strengthen footprint as regional ID solutions leader
KUALA LUMPUR: NexG Bhd is ramping up its transformation journey with a RM250 million capital expenditure to build a state-of-the-art high-security identity document manufacturing facility.
The high-security identity document solutions provider said the investment marks a pivotal milestone in its strategy to strengthen its global footprint.
NexG, formerly operating as Datasonic Bhd, said its multi-phase transformation plan includes capital injection initiatives, a corporate rebranding and expansion into high-potential foreign markets.
"We are actively pursuing both domestic and international investment opportunities through our group of companies," NexG executive chairman and group chief executive officer Datuk Hanifah Noordin said.
NexG said the proposed facility, which includes a new corporate headquarters, will be built in three phases, with expected revenue generation between US$100 million and US$200 million per phase (RM421 million to RM842 million).
The estimation depends on factors such as document types and volume, security specifications required by individual countries, as well as project scale and technical complexity.
"Upon completion, the facility is expected to add around 50 million secure identity documents to NexG's annual production capacity, effectively positioning the company to meet rising international demand for secure identity solutions," it said.
The investment also supports NexG's shift towards digital production systems, intellectual property development and data-driven security solutions, aligned with what it terms a "new paradigm of secure documentation."
"We aim to not just export technology, but to empower digital sovereignty for nations in need of scalable, trusted and secure identity infrastructure," Hanifah added.
Complementing its capital investment, NexG has made key investment moves, including acquiring a 19 per cent stake in a logistics company MMAG Holdings Bhd and a 51 per cent stake in a digital identity technology firm Innov8tif Holdings.
With clear strategic direction and robust investment approach, NexG said it is poised to emerge as a regional leader in secure identity solutions and a key enabler of digital infrastructure across Asean and beyond.
