MaGIC, ScaleUp Malaysia collaborate to accelerate 20 start-ups
By Digital News Asia March 24, 2021
- Aims to raise at least US$60,000 per company for 10 selected startups
- Collaboration can help funnel ScaleUp Malaysia’s alumni to MaGIC’s programmes
THE Malaysian Global Creativity and Innovation Centre (MaGIC) and ScaleUp Malaysia have announced a collaboration geared at raising the volume, growth velocity and value of the local startup industry.
The collaboration aims to train and coach 20 ascendant startups and raise a minimum investment commitment of US$60,489 (RM250,000) per company for 10 selected startups through investments from institutional investors, MaGIC and ScaleUp Malaysia jointly said in a statement.
The participating startups will benefit from potential funds from financial institutions to provide matching credit lines and support from strategic corporate partners for 20 potential Malaysian start-ups, they added.
Both organisations will also be working very closely with the start-ups to double their revenue in the coming year, both organisations noted.
This collaboration marks the first of many this year that MaGIC is driving in realising Malaysia's Digital Economy Blueprint (MyDigital) to groom 5,000 start-ups and attract two unicorns in the next five years.
It serves to advance Malaysia’s position as a regional market producer for digital products and digital solution providers with start-ups as catalysts, they said.
“This collaboration amongst ecosystem partners looks at providing more ready access to investors and funding for start-ups that are ready to scale within Malaysia and the region,” said Dzuleira Abu Bakar, chief executive officer of MaGIC (pic).
“Through this, we groom the start-ups from bootcamp (early stage) to Global Accelerator Programme (GAP or mid to late stage) and onwards to ScaleUp Malaysia (growth stage) with committed funds for investment.”
Dzuleira said MaGIC hopes to funnel its alumni startups to ScaleUp Malaysia and likewise, which serves to help ScaleUp Malaysia alumni to benefit from MaGIC’s programmes.
“By value-adding to the start-ups’ growth development cycle, we are effectively raising the value and impact the start-ups in turn, delivering back into the ecosystem,” she explained.
“Together, MaGIC with ScaleUp Malaysia can support start-ups who will be at the forefront of the digital transformation that is occurring around the world through this pandemic, while positioning them for exponential growth,” said Aaron Sarma, co-founder and general partner of ScaleUp Malaysia.
For both parties, this partnership offers advanced mentorship for ascendant start-ups coupled with a guaranteed investment for start-ups.
“MaGIC is already the ‘go-to’ agency that takes any Malaysian start-up from inception to commercialisation of innovative products and solution, and this enhances the suite of offering,” said Dzuleira.
ScaleUp Malaysia's cohort companies joining the programme will be given priority to participate in MaGIC programmes and initiatives, including the NTIS, the Global Market-Fit Programme (GMP) and MyStartup Hub, which cater to late stage start-ups.
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