Capital A says Teleport stake foreclosure capped at arbitration sum owed, plans challenge

Tuesday 22 Sep 2026

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KUALA LUMPUR (June 16): Capital A Bhd (KL:CAPITALA) shareholders should not be concerned about the foreclosure of its stakes in Teleport Everywhere Pte Ltd and BigPay Pte Ltd as there will be no equity value loss, said its deputy chief executive officer Effendy Shahul Hamid.

Sale of the seized shares, if it proceeds — a court action to enforce an arbitration decision in Singapore — will be capped at the US$14.736 million arbitration award, which has been accounted for in 2024.

Even if the 11.45% Teleport stake is valued at around US$57 million based on the logistic arm's US$500 million pre-money valuation, which is higher than the amount owed, the foreclosure remains limited strictly to the debt of US$14.7 million, Effendy said.

"The amount they [court] can foreclosure on is only up to what is owed, meaning no value loss to equity holders," Effendy told The Edge at the sidelines of Capital A's annual general meeting.

Further, Capital A also intends to file a written notice to object to the seizure of the shares.

Capital A owns 76.86% of Teleport, comprising a direct 65.41% stake and an 11.45% stake held through Move Digital Sdn Bhd. It also owns an indirect 99.56% stake in BigPay through Move Digital.

The two indirect stakes have been seizure to enforce a partial arbitration award requiring Move Digital to buy out BigPay co-founders Christopher Davison and Navin Rajagopalan's minority interests in the fintech firm for US$14.736 million.

According to Teleport, which contributed around 40% of Capital A's revenue based on latest quarter results, achieved a pre-money valuation of US$500 million evaluated by HPS Investment Partners after closing a US$50 million in pre-IPO growth capital in January.

Loss-making Bigpay, which provides e-wallet and foreign exchange services, contributed around 8% of group revenue.

According to Teleport, it achieved a pre-money valuation of US$500 million (equivalent to RM2.03 billion), evaluated by HPS Investment Partners after closing US$50 million in pre-IPO growth capital in January.

Last year, Capital A CEO Tan Sri Tony Fernandes said the group eyes the sale of a majority stake in Big Pay to a regional bank, with plans to retain a 30% stake.

Capital A, which holds shares in low-cost carrier AirAsia X Bhd (KL:AAX), also operates other businesses such as aviation maintenance outfit ADE Engineering, and online travel agent AirAsia Move.

Capital A shares settled unchanged at 43.5 sen on Tuesday, valuing the company at RM1.95 billion.

Edited ByAdam Aziz

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