Who is Velocity Capital? A look at the penny stock that drew Azam Baki's interest
KUALA LUMPUR (Feb 10): Penny stock firm Velocity Capital Partner Bhd (KL:VELOCITY) was again caught in the spotlight on Tuesday following news that Malaysian Anti-Corruption Commission (MACC) chief Tan Sri Azam Baki had emerged as a shareholder in the group last year.
While Azam had responded to reports of his shareholding by saying that the transaction — both the 17.7 million share acquisition and subsequent sale — were both done in 2025 and declared to the relevant government authority, the name "Velocity Capital" has become a point of curiosity for Malaysians, particularly given the group's previous link to MMAG Holdings Bhd (KL:MMAG).
Velocity Capital was making headlines just a few months ago as it was holding a substantial stake in MMAG Holdings, where Datuk Seri Farhash Walfa Salvador was the chairman and its largest shareholder.
A history of identity changes and business pivots
The name Velocity Capital is the group’s seventh since it was listed. Originally known as APP Industries Bhd, the group changed its name six times, first to PFCE Bhd, then Spring Gallery Bhd, DWL Resources Bhd, KTG Bhd, and CSH Alliance Bhd.
According to its annual report, Velocity Capital lists a number of subsidiaries operating in different segments, including in haulage services, IT solutions, manufacturing of packaging, and electric vehicle sales. It also operates a moneylending business through what was previously known as Smart Wisdom Sdn Bhd.
Through its multiple name changes, the group had ventured into businesses such as marketing of porcelain, ceramic and ornaments, rubber glove, and personal protective equipment (PPE). The last two were businesses it attempted during the pandemic.
The group also saw quite a lot of shareholding changes over the years.
Among its notable substantial shareholders in the past were: businessman Tan Ooi Jin (November 2017-April 2019); former private principal secretary to Sarawak Premier Datuk Wan Khalik Wan Muhammad (January 2019-October 2020); Bestinet Sdn Bhd founder Datuk Seri Aminul Islam Abdul Nor (April 2019-August 2020) and his son Muhammad Qhailiz Norman Aminul Islam (August 2020-January 2021); Gadang Holdings Bhd (KL:GADANG)(May 2019-March 2021); MMAG Holdings (May 2021-September 2023); and businessman Datuk Liu Han Ming (2023).
When MMAG Holdings emerged as its substantial shareholders' list in May 2021, the group was known as CSH Alliance. It held as much as 16.61% stake in the group, before its exit in September 2023, after which the group was rebranded Velocity Capital.
Subsequently, in a flip of ownership, Velocity Capital bought into MMAG Holdings in March 2025 — acquiring a 6.46% stake for RM60 million, or an average cost of 40 sen per share. This coincided with the emergence of Farhash as MMAG Holdings's largest shareholder with a 20% stake at the same price, and his subsequent appointment as chairman. At around the same time, NexG Bhd (KL:NEXG) (formerly Datasonic Group) raised its stake in MMAG Holdings to over 9%.
Datuk Fam Chee Way is now the largest shareholder in Velocity Capital with a 28.79% stake held via DB Atlantic Capital (M) Bhd. Fam, who is now the group's non-executive director, emerged as a substantial shareholder in January 2025 after buying the entire 16.6% stake held by Liu, the group's previous largest shareholder and former executive chairman. Fam then acquired another 12.2% stake held by former executive director Tan Yip Jiun.
Velocity shares jumped in early 2025
According to SSM documents, Azam Baki held 17.7 million Velocity Capital shares as at Feb 2, 2025, amounting to 1.38% of the group’s share base.
Velocity Capital's share price, which spiked in January that year to double to eight sen per share, went on to peak at 10.5 sen in March that year. It is unclear when Azam Baki sold his shares — the latest SSM filings as at Dec 26, 2025 still showed him holding onto them — his stake would have been valued at RM1.86 million at its peak.
The counter has since pared gains and last traded at 4.5 sen, giving it a market capitalisation of RM62.16 million.
Both Velocity Capital and Farhash subsequently sold their MMAG shares at a loss. Velocity Capital offloaded its entire 6.46% stake in MMAG via two transactions, losing over RM50 million in the process, while Farhash’s stake sale resulted in an estimated loss of over RM97 million.
Velocity Capital was loss-making for many years before turning a profit in the last two financial years ended June 30, 2024 (FY2024) and 2025. But the return to black was due to reversal of impairment losses (FY2024) and one-off disposal gain (FY2025) rather than improved operational performance.
The content is a snapshot from Publisher. Refer to the original content for accurate info. Contact us for any changes.
Related Stocks
Comments