VCI Global Expands Horizons with Acquisition of Digital Agency

VCI Global's Strategic Acquisition Announcement

KUALA LUMPUR, Malaysia – VCI Global Limited (NASDAQ: VCIG) is making waves in the digital marketing sphere. The company has announced its firm intention to acquire Roots Digital Pte. Ltd., a reputable digital marketing agency based in Singapore. This acquisition, estimated at around US$2.2 million, demonstrates VCI Global's commitment to expanding its presence in the ever-growing digital marketing sector.

Roots Digital: A Leader in Performance Marketing

Roots Digital has solidified its position as an award-winning agency, specializing in performance marketing across multiple digital platforms. The company has shown remarkable growth, boasting over US$3 million in revenue and nearly US$0.9 million in profit in the past year. This impressive performance is coupled with a unique client retention strategy, maintaining an average relationship lifespan of 24 months, significantly reducing customer churn.

Serving Notable Clients

This digital marketing firm has built a strong portfolio, working with prestigious clients such as the National University Cancer Institute in Singapore, Microsoft Corporation, and several educational institutions. Their ability to cater to high-profile organizations underscores their capability and reliability in delivering digital marketing solutions.

Recognized Connection to Productivity Solutions Grant

Roots Digital's status as a pre-approved vendor for the Infocomm Media Development Authority’s Productivity Solutions Grant (PSG) highlights the firm's commitment to helping local SMEs (Small and Medium Enterprises) access funding for digital marketing services. This recognition speaks volumes about the quality and effectiveness of the services they provide to their partners.

New Opportunities on the Horizon

The upcoming acquisition is not just a financial transaction; it's a synergistic move that will enhance the marketing strategies for VCI Global. By merging its expertise with that of Roots Digital, VCI Global aims to strengthen its capabilities in critical areas such as SEO, paid media strategies, and social media engagement. This united front is set to bring substantial returns on investment for various clients across diverse industries.

Embracing Digital Growth Trends

According to recent forecasts, the global digital marketing industry is poised for significant growth, reaching an estimated US$1.2 trillion by 2033, fueled by the expansion of internet access and digital platforms. As VCI Global steps into this dynamic market, it is perfectly positioned to leverage these trends and provide valuable services to its clients.

CEO's Vision for the Future

Dato’ Victor Hoo, the Group Executive Chairman and CEO of VCI Global, expressed excitement about this acquisition, emphasizing its potential to broaden the company’s offerings. He stated, “This acquisition aligns with our strategic vision and will serve as a springboard for additional acquisitions, helping us to enhance client value and diversify our services.” The commitment to innovation and client service remains at the forefront of VCI Global's mission.

About VCI Global Limited

Founded in Kuala Lumpur, Malaysia, VCI Global operates as a diversified holding company with five key business sectors: Capital Market Consultancy, Fintech, Real Estate, AI & Robotics, and Cybersecurity. Each sector plays a pivotal role in shaping the company’s growth strategy. With a focus on innovation, VCI Global delivers tailored solutions in areas ranging from IPO consultancy to robust cybersecurity services.

Connecting with Roots Digital

Roots Digital operates primarily in Singapore and Malaysia, offering a wide range of digital marketing services including SEO, web design, and digital advertising. As a certified Google Partner, they excel in providing specialized advertising solutions across various formats.

Frequently Asked Questions

What is the significance of VCI Global's acquisition of Roots Digital?

This acquisition positions VCI Global to enhance its digital marketing capabilities and expand its market presence in Singapore, tapping into new growth opportunities.

What are the financial highlights of Roots Digital?

Roots Digital has reported impressive financials, including over US$3 million in revenue and nearly US$0.9 million in profit, along with sustained year-on-year growth.

How does this acquisition benefit clients?

The merger will allow VCI Global to offer stronger marketing solutions, leveraging Roots Digital’s expertise to improve services in SEO and digital advertising.

How does Roots Digital support local businesses?

Roots Digital is pre-approved as a vendor for the PSG, enabling local SMEs to secure substantial funding for digital marketing services, thereby supporting business growth.

What sectors does VCI Global operate in?

VCI Global operates in Capital Market Consultancy, Fintech, Real Estate, AI & Robotics, and Cybersecurity, providing a wide array of services across these industries.

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