In a statement today, Industronics said it would work with the regulators on the necessary compliance-related issues and other required approvals.

Meanwhile, the SDIC will provide access to an estimated US$1 billion (RM4.2 billion) in funding for the set-up and expansion of asset management and capital market services.

The group said it has entered into a memorandum of understanding for this collaboration, in line with its proposed acquisition of a 10% stake in Hong Kong-based renowned stockbroking, asset management and credit firm, Bluemount Financial Group Ltd.

Industronics executive director Chu Boon Tiong said the group is confident that its network and expertise on the local front will help to expedite the setting up of the investment bank in Labuan.

“Industronics’ expertise in cloud solutions and digital offerings, the proposed acquisition of Bluemount and collaboration with SDIC, will put the group in the driver’s seat to push for digital brokerage services in the region, capturing the potential delisting of Chinese companies in the US stock exchange,” he said.

Chu added that future collaboration plans involved an acquisition or collaboration with a local stockbroking firm in Malaysia.