SINGAPORE: Singapore-based e-commerce large Sea, the parent company of Shopee, has committed to expanding its investments in Malaysia, creating more than 2, 000 work in the process.
Shopee is the largest pan-regional e-commerce system in Southeast Asian countries and Taiwan.
Malaysia’s Ressortchef (umgangssprachlich) of International Business and Industry, Tengku Zafrul Aziz announced this move during his official visit to the company’s headquarters in Singapore on Sunday (Jan 29).
Sea’s decision to broaden its investment footprint in Malaysia reflects the company’s confidence in the prospects, as well as the operational and policy stability of the country’s business landscape, he or she added.
During the minister’s visit, Sea contributed its proposed expansion plans in Malaysia, involving the setting up of cloud computing solutions, data hosting and processing, as well as a new logistics e-commerce stockroom.
The particular cloud computing project will be located in the three-storey green facility in the Johor town of Kulai, mentioned Malaysia’s Ministry associated with International Trade and Industry (MITI).
It will house twenty-four data hall suites, mechanical and electrical rooms, office space, and also storage and parking facilities, targeted to end up being completed by the first quarter of 2024.
Additionally , Shopee will also expand the footprint in Malaysia with a newly-constructed two-storey mega warehouse – an integrated hi-tech logistics park equipped with cloud infrastructure comprising 130, 000 sq m in Bukit Raja, Klang.
“Their prepared foreign direct investment decision in cloud processing and hi-tech storage is set to create more than 2, 000 brand new jobs for our individuals, which will also assist us upskill the human capital whilst enhancing national productivity and competitiveness in the long run.
“We are also expecting good spillover effects for the small- and medium-size enterprises, corporates and the surrounding local areas. This includes local sourcing, vendor development as well as the strengthening of the local industrial ecosystem, particularly in the digital space, ” said Tengku Zafrul.
Tengku Zafrul’s three-day investment mission in order to Singapore is in combination with Prime Minister Anwar Ibrahim’s first established visit to the country upon Monday .
During the go to, he will also have one-on-one business meetings with the Yondr Group, a global head in data centers and INSEACT, a Singapore-based alternative proteins company which is a specialist in producing eco friendly insect protein designed for aquaculture.
“DIFFICULT 2022”
Sea’s co-founder and group chief operating officer, Bunch Ye said the decision was a significant growth not just for the team, but also for the local digital ecosystem.
“We are grateful for your MITI minister’s and his team’s support for the expansion plans and business strategies, ” he said.
Bloomberg previously documented that Sea owner Forrest Li introduced in an internal memo that the company “needs to focus on profitability following a difficult 2022”, adding that the economy within 2023 “may prove to be even more challenging” among the ongoing battle in Ukraine plus rising inflation rates.
As such, the company will certainly halt salary improves for employees who have not been promoted, said Li, who added that the majority of the adjustments have been made.
Sea has also let go more than 7, 500 employees – or even about 10 % of its workforce — as of December last year.
Staff cuts had been also made from Garena in September 2022, including the shutting straight down some major tasks to boost Sea’s success.
That exact same month, more Shopee employees were also let go , with some of them having their job offers rescinded times before they started work.