Jack Ma to invest Alibaba’s regional distribution hub in Malaysia, generating RM7 bil worth of investments ?!

Jack Ma to invest Alibaba’s regional distribution hub in Malaysia, generating RM7 bil worth of investments ?!

Chinese e-commerce star Alibaba Group Holding Limited intends to start up a regional distribution hub in Malaysia to pander to its rapidly growing business in the region.

The hub would be located within KLIA Aeropolis, a 24,700-acre development led by airport operator Malaysia Airports Holdings Bhd (MAHB). The business is estimated to achieve more than RM7 billion worth of domestic and foreign investments.

Jack Ma (Alibaba executive chairman) and Malaysian Prime Minister Najib Razak would announce the plans at an event in Kuala Lumpur next week.

With the help of Malaysian state-linked agencies, the hub will be steadily set up. Whether Alibaba would invest any funds in the project, the news are still pending.

Kuala Lumpur International Airport (KLIA) facilitates Alibaba Group to handle their distribution services here, and if Alibaba decides to expand in the future, more development is available on other sites in KLIA Aeropolis.

Malaysian media reported that Mr Ma would help steer Malaysia’s e-economy development with the implementation of online payment and banking. This would mark Alibaba’s first investment in Malaysia.

Sources claimed the distribution hub would be part of Malaysia’s Digital Free Trade Zone (DFTZ). Plans to establish the DFTZ were announced in the national budget last October.

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