Assemblying Velchip RM44.5 billions project investors puzzle
My eye are open wide when I read this RM44.5 billions BPL roll out plan for Indonesia mosque from slashdot.
And the link to the story are from Computer world Malaysia, Title : Velchip signs three major partnership deals to advance the world’s biggest broadband powerline project
Representatives of Velchip’s holding company, Masers International– Rahman and company president Wan Sarkawi Tuanku Jaapar Al-Yahya — signed three main agreements in Kuala Lumpur, to be later witnessed by Malaysian Prime Minister Dato’ Seri Ahmad Badawi.
Badawi was reported to applaud the Malaysian company’s efforts to enhance economic growth and Internet literacy in developing countries as well as improve bilateral ties between Malaysia and Indonesia.
The first agreement was with investment firm Sarz Al Yahya Corporation, which will inject project financing of US$14 billion.
Now the US$14 billions price tag are hard to miss. I don’t see much info offer from Velchip website. By the way, Velchip are NOT a MSC company, but locate in Cyberjaya.
Then I turn the attention to Maser International. Then whoops :
Founded in 2003, Masers counts on Mavcap (www.mavcap.com) as its investor to design, develop and deploy a wide range of products and services dedicated to both the consumer space, and the corporate customers.
But wait, when you checkout the Masers International Sdn Bhd website, you see nothing. The website http://www.masers.com.my DOES NOT exist. And http://www.maser.com.my are an oil & gas entities that irrelevant to this company.
Now how much money does the Malaysia government body MAVCAP hold? How are this MAVCAP making? Well, just need to dig more from Google.
According to kwaifatt.com website, Malaysia year 2002 budget
Following the announcement of the establishment of the 500 million ringgit Venture Capital Fund, a Government-owned company, Malaysia Venture Capital Management Berhad (MAVCAP) was set up. An amount of 100 million ringgit from the Fund will be outsourced to four local venture capital companies, while the balance of 400 million ringgit will be direct investments in venture capital companies. To date, MAVCAP has received 104 business proposals from 10 countries, including the United States, Korea, Hong Kong SAR and China, with financing requirements of 1 billion ringgit. To further augment the venture capital fund, the Government of Japan has agreed in principle to provide a loan to MAVCAP, amounting to 1.9 billion ringgit, especially for the financing of debt ventures.
So it is RM500 millions in Year 2002. And in order to increase the Venture capital funding, MAVCAP source finance from offshore. Now this is WTF, a VC fund go BORROW money? Oh my.
Since then, the loan seems “dissipate into the thin air”, and I can almost spell the word B*IL O*T. 😉
Because according to their own news
Malaysia Venture Capital Management Bhd (Mavcap) may not be able to meet its second installment of debt obligations of RM100 million with its parent, Minister of Finance Inc (MoF), next year.
Mavcap chairman Datuk Abdul Samad Alias said that as such, its board and management hoped to convert part of the RM500 million loan that had been disbursed to it by MoF since 2001 towards spearheading the development of the country’s venture capital (VC) industry.
No go back to http://www.velchip.com
According to Internic report , this is the registration report of velchip
Creation Date: 08-Jun-2007
Expiration Date: 08-Jun-2008
And netcraft spotted velchip on August 2007
Due to the RM44.5 billions figures, please assemble the puzzle yourself. I won’t go further. Since I am not Jeff Ooi, my bone will crack, if you throw 50 millions (No Mugabe 50 millions Zimbabwe dollar note please) to me. Yes, RM20 millions are Desi stake😉
Talk about Malaysia involvement in Billions Ringgit electronics projects, I just found out an interesting pieces from DAP MP Wong Ho Leng about INTERESTING investment in Sarawak
Chong also spoke on the nerve spot of the Government investment arm – 1st Silicon. Without even hearing anything yet, the Speaker wanted to stop him, saying much has been delved on it in the previous sitting. No, said Chong, he had further information, and proceeded. Massive debts to the tune of RM3,152,725,672 had been transferred to the X-Fab Silicon Sarawak Sdn Bhd, a state owned company. Every single sen comes from the state coffer. Has the administration told us about this? BN did not bother to ask. Yet, these expenditures appeared in our Budget under item Government’s contributions toward approved agencies’ trust fund. No beneficiary was ever mentioned, just investment in high tech industry. There was absolute silence in the Dewan, despite Chong’s strong words that they all sit there and took all these from the administration.
Calling it the prodigal son of Sarawak, Chong said RM1,719,083,100 was used to bail out 1st Silicon. The Accounts showed that since its inception the accumulated loss of 1st Silicon was RM2.5 billion. Chong suggested for a white paper to be presented on 1st Silicon – why 1st Silicon lost so much? Who was responsible?
It will be INTERESTING to learn who is behind Maser International and Valchip, which Abdullah Badawi will spare his time to get involve on the ceremony.
Will keep my finger crossed😉