AMTD Group to take majority stake in CapBridge

Singapore

HONG Kong's AMTD Group is ramping up its presence in Singapore, following its subsidiary's recent dual listing here and digital bank ambitions.

Its digital platform arm AMTD Digital will take a majority stake in private capital platform CapBridge Financial for an undisclosed sum, with plans to expand the digital assets exchange platform, using Singapore as a key operations and growth hub.

This collaboration aims to tap the private market and digital assets exchange knowledge of CapBridge, and the connectivity and digital solutions platform strength of AMTD Digital.

AMTD International, the group's investment banking and asset management arm, listed on the Singapore Exchange mainboard in April. It is the first company to be dual-listed on the New York Stock Exchange and the Singapore Exchange mainboard.

The group is also a contender for one of the three digital wholesale banking licences up for grabs in Singapore. It is leading a consortium that includes SP Group, Xiaomi Finance and Funding Societies.

In its latest partnership, AMTD will be the main driver while CapBridge will bring together private capital markets know-how and financial technology such as blockchain and robo-advisory to develop the global private markets and digital asset space from its Singapore headquarters.

In Singapore, CapBridge holds a Capital Markets Services licence through its primary online syndication platform and the Recognised Market Operator licence through Singapore's first regulated private securities exchange, the blockchain-based 1exchange.

AMTD said that it is committed to building a "Singapore-centric Asian fintech platform" to expand across South-east Asia, connect the Asean markets with the Greater Bay Area and the rest of China.

The acquisition of the CapBridge stake is subject to approval from the Monetary Authority of Singapore and closing conditions. AMTD is expected to strengthen CapBridge's deal sourcing, product innovation, customer acquisition, investor servicing capability, as well as research and data intelligence capabilities, leveraging on AMTD's ecosystem.

Calvin Choi, AMTD Group's chairman and CEO, said: "Our broad experience, credentials and resource network in various new economy sectors will combine to provide unwavering support to CapBridge in its continued growth, injecting fresh momentum into Singapore, Hong Kong and the rest of Asia's digital asset sector."

Mr Choi, who is also AMTD Digital's chairman, added that CapBridge will "significantly add" to its strategy in serving Asian corporates across their different life stages, providing complete value chain solutions to cover all stages of financing needs.

Johnson Chen, founder and CEO of CapBridge, said: "The current Covid-19 pandemic has underscored the importance of digital facilitation and interconnectivity when it comes to accessing institutional-grade opportunities.

"We look forward to combining CapBridge's offerings with AMTD's resources and network, digital financial services licences and institutional investors network to create even more vibrancy and value in Singapore, regional, and global private markets."

In May, CapBridge announced investments by Singapore government-owned SGInnovate and Hong Kong government-owned Cyberport, marking the next phase of public-private partnerships for the private markets group.