KUALA LUMPUR (March 16): The Securities Commission Malaysia (SC) will streamline transfers from the LEAP Market to the ACE Market by removing the exit offer requirement, providing greater certainty and reducing costs for companies, Finance Minister II Datuk Seri Amir Hamzah Azizan said on Monday.
The move aims to strengthen the funding pathway, positioning Equity Crowdfunding (ECF) as a stepping stone for micro, small and medium enterprises (MSMEs) before they progress to a public listing.
“The initiative is expected to be implemented in the second half of 2026 (2H2026),” Amir Hamzah said while delivering his keynote address at the Malaysia Co-Investment Fund (MyCIF) Engagement Day here.
Under the LEAP Market Transfer Framework, a company must meet several criteria to move to the ACE Market. It must have been listed on the LEAP Market for at least two years, be assessed as suitable for an ACE Market listing by a sponsor, and undertake a public issue of shares.
A transfer applicant must also apply to withdraw its LEAP Market listing and provide shareholders with an exit offer or an alternative mechanism that is equitable.
Amir Hamzah added that the SC and Bursa Malaysia are strengthening the LEAP Market value proposition, creating a clearer pathway for companies raising funds through ECF to eventually list on the public market.
Under the proposed framework, ECF companies with a proven fundraising track record will be able to transition to a LEAP listing, improving visibility and providing a smoother route from private capital markets to public equity.
The initiative is designed to create a seamless progression between funding stages, positioning ECF as an early stepping stone for companies before scaling and accessing public capital.
In addition, the government will allocate an additional RM20 million to MyCIF, on top of the RM30 million announced in Budget 2026, bringing total funding this year to RM50 million.
The additional investment will allow MyCIF to expand into new areas, including the Silver Economy Scheme, which targets MSMEs developing services and solutions for an ageing population, such as remote elderly care, assisted living, and retirement planning.
Launched in 2019 under Belanjawan 2019, MyCIF was set up to co-invest in MSMEs and social enterprises alongside private investors via ECF and peer-to-peer (P2P) financing platforms.
According to SC, MyCIF has exceeded RM1.5 billion in co-investments since inception.
Combined with RM6.2 billion from private investors, the fund has raised a total of RM7.7 billion, supporting over 11,500 MSMEs, ranging from traditional businesses to tech-enabled enterprises, over the last six years.