Business for Sale Malaysia – Labuan-Based Financial Services Company

Business for Sale Malaysia – Labuan-Based Financial Services Company | Gold House M&A

Labuan Money Broking License For Sale

Business for Sale Malaysia – Labuan-Based Financial Services Company

Executive Summary

We are presenting a unique and valuable M&A opportunity to acquire a financial services company based in Labuan, Malaysia. This entity holds a coveted Labuan money broking business license, a highly regulated and valuable asset in the Asia-Pacific financial landscape. The company is a subsidiary of a leading Asia-headquartered financial technology company.

This acquisition offers a strategic entry point or an expansion opportunity for a financial institution, fintech company, or a high-net-worth individual looking to leverage the unique regulatory and tax advantages of the Labuan International Business and Financial Centre (Labuan IBFC).

Key Investment Highlights

• Valuable Labuan Money Broking License: The primary asset is the license itself, which is a significant barrier to entry. Obtaining a Labuan money broking license from the Labuan Financial Services Authority (Labuan FSA) is a rigorous process that requires a substantial paid-up capital (at least RM500,000 or its foreign currency equivalent), a credible and viable business plan, and proof of an operational office and local employees in Labuan. This acquisition bypasses the lengthy and complex application process.

  
  

• Strategic Location and Favorable Jurisdiction: Labuan IBFC is an internationally recognized financial center with a business-friendly environment and a progressive regulatory framework. Key advantages include:

  
  

  • Low Corporate Tax: Labuan entities engaged in money broking activities are subject to a low corporate tax rate of 3% on audited net profits.

  • 100% Foreign Ownership: The jurisdiction allows for full foreign ownership, providing flexibility and control for international acquirers.

  • No Withholding Tax: There is no withholding tax on dividend and interest payments to non-residents.

  • Robust Regulatory Oversight: The Labuan FSA provides a stable and secure environment, enhancing credibility and trust for clients and partners.

    
    

• Ready-to-Operate Platform: The sale includes a fully incorporated and licensed entity, allowing the new owner to immediately commence operations. This saves significant time and resources that would otherwise be spent on company formation, license application, and compliance setup. The entity has already met the "economic substance requirements" of maintaining an operational office and a minimum number of employees in Labuan.

  
  

• Established Foothold in a Growing Market: The Labuan IBFC has positioned itself as a hub for digital financial services and Islamic finance, sectors that are experiencing rapid growth. A money broking license allows the entity to act as an intermediary in both conventional and digital asset markets, including trading and exchange of digital assets.

  
  

• Synergistic Acquisition: For existing financial institutions, this acquisition offers a new license to diversify business lines and tap into new markets. For fintech companies, it provides the regulatory framework to scale their offerings and expand their footprint in the Asia-Pacific region.

Company Overview

The company is a Labuan-based entity and a subsidiary of a leading technology company with a strong focus on capital markets. The parent company's background in compliant and technology-driven financial services underscores the quality and integrity of this subsidiary. The licensed entity is ready to be transferred to a new owner.

Offer to Prospective Acquirers

This is an exceptional opportunity for a strategic buyer seeking to enter or expand within the lucrative and well-regulated financial services sector in Southeast Asia. We invite all serious and qualified parties to engage in a confidential discussion to explore this M&A opportunity further.

The sale is being conducted to a pre-qualified list of potential buyers. We will be seeking offers from parties who can demonstrate a clear strategic rationale and financial capacity for this acquisition. A comprehensive due diligence package will be made available to shortlisted candidates upon execution of a Non-Disclosure Agreement (NDA).

How Gold House M&A can Help

Business for Sale Malaysia – Labuan-Based Financial Services Company

Gold House M&A plays a crucial role in a company's acquisition strategy, providing expertise, resources, and a structured process to maximize value and minimize risk. While a seller hires an advisor to get the best price, a buyer hires one to find the right target, ensure a fair price, and manage the complex process efficiently.

Here's a breakdown of how Gold House M&A can help a buyer throughout the acquisition lifecycle:

1. Strategy and Target Identification

• Defining the Acquisition Thesis: Gold House M&A helps the buyer clarify their strategic objectives. This includes understanding what business challenges the acquisition will solve, what growth opportunities it will unlock, and what criteria are most important (e.g., industry, size, geography, technology, financial performance).

  
  

• Market Research and Deal Sourcing: Gold House M&A has access to proprietary databases and extensive networks that enable them to conduct comprehensive market scans. We can identify a long list of potential targets, including those that are not publicly for sale, and then create a short list of the most suitable candidates. This saves the buyer significant time and effort.

  
  

• Confidential Outreach: A key benefit is the advisor's ability to approach potential targets on a confidential, "no-names" basis. This prevents the buyer's intentions from becoming public knowledge prematurely, which could disrupt their own business operations or drive up the target's price.

2. Due Diligence and Valuation

• Expert Due Diligence Coordination: Mergers and acquisitions are complex. Gold House M&A manages and coordinates the entire due diligence process, which involves a deep dive into the target's financial, legal, operational, and commercial aspects. We can bring in a team of specialists (e.g., accountants, lawyers, and operational consultants) to uncover hidden risks, liabilities, and potential red flags.

  
  

• Objective Valuation: Gold House M&A is experts in various valuation methodologies, such as discounted cash flow (DCF) analysis, comparable company analysis, and precedent transaction analysis. We provide an objective and unbiased assessment of the target's value, ensuring the buyer doesn't overpay and that the deal thesis is financially sound.

  
  

• Synergy Identification: Gold House M&A helps the buyer identify and quantify potential synergies, such as cost savings from integrating operations or revenue growth from cross-selling products. This helps in building a robust business case for the acquisition.

3. Negotiation and Deal Structuring

• Strategic Negotiation: Gold House M&A acts as a buffer and a professional negotiator. We can handle sensitive conversations and push for better terms and conditions on behalf of the buyer, including price, payment structure (e.g., earn-outs, stock swaps), working capital adjustments, and representations and warranties.

  
  

• Structuring the Deal: We help the buyer structure the transaction in the most advantageous way, considering factors like tax implications, legal requirements, and financing options. We work closely with the buyer's legal and financial teams to ensure the final agreement aligns with their goals.

4. Execution and Post-Deal Integration

• Project Management and Closing: Gold House M&A provides a disciplined and structured approach to the entire process. We manage timelines, ensure all closing conditions are met, and coordinate with all parties involved to facilitate a smooth and efficient closing.

  
  

• Post-Merger Integration (PMI) Planning: Gold House M&A's role extends beyond closing. We can assist in planning the post-merger integration to ensure the newly acquired business is successfully assimilated. This includes developing a 100-day plan, establishing a project management office (PMO), and identifying key milestones to unlock the intended deal value.

In summary, Gold House M&A provides a buyer with:

• Expertise: Deep knowledge of the M&A process, market trends, and industry-specific insights.

• Objectivity: An unbiased perspective that keeps the buyer's strategic goals grounded in reality.

• Time and Efficiency: A dedicated team to manage a time-consuming process, allowing the buyer to focus on running their core business.

• Risk Reduction: A rigorous due diligence process that identifies and mitigates potential pitfalls.

• Confidentiality: The ability to explore opportunities discreetly and protect sensitive information.

• Increased Probability of Success: A higher chance of a successful transaction that delivers long-term strategic value.

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