How interest-scheme financing supported the listing journey of ICT Zone Asia Berhad
This case study traces how the ICT Zone group of companies (the Group) used interest-scheme financing to support its ICT rental and leasing operations before it accessed the public equity market.
The journey involved two related companies:
ICT Zone Ventures Berhad established and managed the interest schemes; and
ICT Zone Asia Berhad was later formed as the Group’s holding company and became the company listed on Bursa Malaysia.
ICT Zone Ventures was not separately listed on Bursa Malaysia. It became a wholly owned subsidiary of ICT Zone Asia, which was listed on the LEAP Market in 2020 and subsequently transferred to the ACE Market in 2025. The LEAP Market is Bursa Malaysia’s market for small and medium-sized companies and is open only to sophisticated investors. The ACE Market is Bursa Malaysia’s sponsor-driven market for growth companies and is open to the general public.
The journey can be understood through four main stages:
- ICT Zone Ventures raised funds through interest schemes to support the Group’s ICT rental and leasing operations.
- ICT Zone Asia was formed as the Group’s holding and proposed listing company.
- The interest schemes were redeemed and terminated before the LEAP Market listing.
- ICT Zone Asia was listed on the LEAP Market and later completed an initial public offering (IPO) to transfer to the ACE Market.
Stage 1: Raising funds through interest schemes
The ICT Zone Group ventured into the long-term rental of ICT solutions in 2010 through the introduction of its EzRental business. In the same year, ICT Zone Ventures was incorporated with the intention of establishing, managing and operating interest schemes. Its principal activities included information and communication technology, investment schemes, technology financing, leasing and factoring facilities services.
In March 2011, ICT Zone Ventures launched its first interest scheme to raise capital for the Group’s ICT rental and leasing operations. The scheme was initially conventional and was converted into a Shariah-compliant scheme in 2012.
To raise more capital for its growing leasing business, ICT Zone Ventures launched a second, Shariah-compliant interest scheme in October 2014.
Money that investors contributed to the schemes was used to finance and support the Group’s long-term rental of ICT solutions. According to ICT Zone Asia’s listing documents, the increase in scheme investments gave the Group more capital to secure additional rental and leasing contracts.
By August 2020, ICT Zone Ventures had raised approximately RM37.4 million through the two interest schemes.
In short, the schemes gave the Group a source of capital before it could raise funds on the stock market.
Stage 2: Forming ICT Zone Asia as the listing company
To prepare for a listing, the Group established ICT Zone Asia in 2019 as its holding and proposed listing company.
ICT Zone Asia was incorporated as a private limited company on 28 January 2019. It was converted into a public limited company and assumed the name ICT Zone Asia Berhad on 21 May 2019.
As part of the Group’s reorganisation, ICT Zone Asia acquired ICT Zone Ventures, ICT Zone Sdn Bhd and Techfin Capital Sdn Bhd. When the acquisitions were completed on 9 December 2019, ICT Zone Ventures became a wholly owned subsidiary of ICT Zone Asia.
The relationship can be summarised as follows:
- ICT Zone Asia Berhad
Holding company and proposed listed issuer - wholly owns
- ICT Zone Ventures Berhad
Interest-scheme manager and operating subsidiary
The distinction matters: ICT Zone Ventures ran the interest schemes, while ICT Zone Asia was the company being prepared for listing on Bursa Malaysia.
Stage 3: Redeeming and terminating the interest schemes
With the listing company in place, the Group then redeemed and terminated the two interest schemes ahead of ICT Zone Asia’s proposed listing.
Some interest holders were repaid in cash. Others agreed to receive ordinary shares and irredeemable convertible preference shares (ICPS) in ICT Zone Asia.
Approximately RM18.9 million of the investments raised through the schemes was converted into shares and ICPS in ICT Zone Asia. The remaining RM18.5 million was repaid.
This allowed participating interest holders to move from holding interests under schemes managed by ICT Zone Ventures to holding securities in the proposed listed holding company.
The ordinary shares issued to the interest holders also contributed to the public-shareholding spread required for ICT Zone Asia’s proposed LEAP Market listing. Of the 23,450,000 shares issued to interest holders, 22,612,500 were held by public shareholders.
Stage 4: From the LEAP Market to the ACE Market
Listing on the LEAP Market
With the schemes redeemed, ICT Zone Asia was listed on the LEAP Market on 15 December 2020.
The listing was by way of introduction, meaning ICT Zone Asia’s existing shares and ICPS were listed without any fundraising. No new funds were raised when it was admitted to the LEAP Market.
The stated purposes of the listing were to provide a platform for security holders to trade their shares and ICPS, enable the company to tap the equity capital market for future fundraising and enhance the Group’s profile and corporate visibility.
During its time on the LEAP Market, ICT Zone Asia completed a private placement in 2023, issuing 53,375,700 new shares at RM0.19 each and raising approximately RM10.14 million.
Part of the proceeds was used to purchase ICT hardware and software for the Group’s technology financing business.
The ACE Market IPO
The next step was a move to the ACE Market, which is open to the general public. ICT Zone Asia undertook an IPO in conjunction with the transfer of its listing from the LEAP Market to the ACE Market.
The 2025 public issue of 133 million new shares at RM0.20 each raised gross proceeds of RM26.6 million for ICT Zone Asia. Of this amount, RM21 million, or 78.95%, was allocated to expand the Group’s technology financing solutions business.
ICT Zone Asia was delisted from the LEAP Market and listed on the ACE Market on 3 June 2025.
Conclusion: why the interest schemes mattered
The interest schemes and the 2025 IPO were separate stages in the Group’s financing journey. Even so, the schemes shaped the path to listing in two ways.
First, they funded growth. Before the Group could raise money on the stock market, the schemes supplied the capital it needed for its ICT rental and leasing operations. By August 2020 they had raised approximately RM37.4 million, and the growing pool of investments allowed the Group to secure more rental and leasing contracts.
Second, they helped lay the ground for listing. When the schemes were redeemed, approximately RM18.9 million of investments was converted into shares and ICPS in ICT Zone Asia, so participating interest holders became security holders in the company being listed. The shares issued to them also helped ICT Zone Asia meet the public-spread requirement for its LEAP Market listing.
From there, the Group progressed step by step: a listing by introduction on the LEAP Market in 2020 without new fundraising, a RM10.14 million private placement in 2023, and finally a RM26.6 million IPO and transfer to the ACE Market in 2025.
The ICT Zone case shows how an interest scheme can act as a bridge to the public equity market. It can fund a business before the business is ready to list and, once redeemed and settled, turn scheme investors into shareholders of the listed company.
The overall journey can be summarised as follows:
- Interest schemes
Capital raised for ICT rental and leasing activities - Formation of ICT Zone Asia
Group holding and listing company established - Redemption and termination of the schemes
Cash repayments and conversion into shares and ICPS - LEAP Market listing in 2020
Listing by introduction without fundraising - Private placement in 2023
RM10.14 million raised - ACE Market IPO in 2025
RM26.6 million raised through the public issue
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