Stampede Solution receives RM10.4mil Investment from MYEG
By Digital News Asia December 25, 2017
- To strengthen presence in maturing markets such as Philippines, Thailand and Vietnam
- Explore a potential venture into Indonesia, an emerging enterprise software market
THE Stampede Group (Stampede) has signed an agreement with MY E.G. Capital Sdn Bhd, the wholly owned subsidiary of MY E.G. Services Bhd (MYEG) to purchase a 23.5% interest in Stampede Holdings Sdn Bhd, marking one of the largest investments so far for the venture investment arm of MYEG.
The RM10.4 million investment in the holding company of Stampede Solution Sdn Bhd will allow Stampede, a specialist in the provision of a complete accounts receivable solution which counts more than 150 customers across the region, to continue strengthening its presence in maturing markets such as Philippines, Thailand and Vietnam whilst exploring a potential venture into Indonesia, an emerging enterprise software market.
Stampede chief executive officer and founder Kris Uttraphan said: “The investment by MYEG came at an opportune time, when financial institutions across the region are maturing and seeking innovative solutions to help drive their businesses forward, especially in the accounts receivables industry. Through our software solution, Volare, we are constantly innovating this offering as we endeavour to provide the most comprehensive software solutions for the industry.
“While the global debt collection software market is expected to grow at a CAGR of 5.85% during the period of 2017-2021, the Asia Pacific market continues to be promising as organisations are seeking alternative solutions offered in the accounts receivables market, showing a stronger openness towards service innovation. This helps drive the adoption of Volare, our specialised software designed to automate and assist organisations in processing their receivable management cases.”
For MYEG, this investment represents not only the latest, but also the most significant by value that it has made thus far in its continuing undertaking to make strategic venture investments in promising start-ups and technology companies with cutting-edge solutions.
Managing director of MYEG, TS Wong commented: “Our investment into Stampede reiterates our vision to be the leading IT company in the region. To achieve this goal, we are constantly looking for companies that have proven to be disruptive in the past and have the vision to continue being disruptive going forward. Working with Kris, we believe Stampede will emerge as a leading fintech player in its segment.”
As Malaysia's leading e-government services provider, MYEG has since the year 2000 been developing and implementing applications that enable fast, efficient and reliable delivery of a variety of key government services to the Malaysian public.
In playing a vital role in digitalising critical services for the benefit of Malaysian citizens and businesses, MYEG has also expanded into the provision of commercial services such as online insurance renewal and motor trading and financing.
Through MYEG Capital, MYEG has invested in numerous technology businesses including Agmo Studios, FashionValet, and Hurr.tv, among others.
Homegrown technology company to cultivate more talent
Stampede is a account receivables technology provider in Malaysia, with a 90% market share servicing key business verticals comprising banking, financial institutions and telecommunications industry.
Since starting his company Stampede Solution in 2002, Uttraphan had a vision to innovate the accounts receivables industry with a software that will streamline the processing of data and operations.
His vision was motivated by the rapidly evolving scene in the finance and telecommunications sector, in which the trend was to outsource their debt collection divisions to Debt Collection Agencies (DCA). The latter functions as a specialised call centre for accounts receivables, to reach out to delinquents on behalf of their industry clients.
Identifying the need for a platform for DCAs to operate and manage this significant volume of data, Stampede launched Volare as the answer to this growing need, which is now utilised by some 90% of the 170 DCAs are currently in the market.
Volare provides customers with a platform that automates and assists them in the processing of these receivable management cases. It functions by centralising data through a simplified yet intelligent user interface to assist DCAs in effectively running their businesses. Today, Volare has expanded its market penetration to assist banking, financial institutions, corporations and education institutions in managing its debt collection data.
Uttraphan elaborated: “We would not have come this far if not for the investment and dedication of our employees, and this cements our renewed vision to continue building the talent we have in our organisation.”
With a current workforce of 60 employees, Stampede witnessed an 88% staff growth in 2017. Regarding new human capital plans for 2018, Uttraphan commented: “Akin to the technological space, every organisation needs to evolve with time to adhere to the needs of the society. Applying that logic to Stampede, we understand that our employees form the crux of our success. We have several plans lined up for the new year, with one of them being the ‘Unlimited Leave Policy’.
“I am a big proponent of ‘trust’ and ‘liberty’, so I will continue to encourage the personal and career growth of my team members through experimenting with new policies that reinforces the values of Stampede.”