GEORGE TOWN (Jan 4): Hong Kong-listed Kerry Logistics Network Ltd, owned by Malaysian tycoon Tan Sri Robert Kuok, expects a double-digit growth in revenue from Southeast Asia by the financial year ending Dec 31, 2020 (FY20) with its new information technology (IT) development centre here.
Its chairman George Yeo said the percentage contribution from Southeast Asia's overall portfolio was relatively small, but the IT development centre set up today would cater to the logistics sector in the region, thereby increasing efficiency.
"In tandem with its business expansion in ASEAN (Association of Southeast Asian Nations) and beyond is the rising demand for IT application system and support.
"As part of its overall IT development strategy, Kerry Logistics will use the new centre in Penang as an offshore support centre to share resources amongst different offices globally, in a bid to increase operational efficiency at lower cost," the company said in a statement.
Yeo said currently the IT centre would serve Southeast Asia, but in years to come software development would shift from China to Penang and render its services for its global clientele.
"There is great potential in Penang. The government has played an important role in promoting IT development of this city, making it one of the preferred Asia technology bases of many international IT giants.
"Establishing our IT centre here will provide us readily available local IT resources, a strong pool of multilingual talents and good infrastructure support," he said at the opening of the centre.
Earlier, Chief Minister Lim Guan Eng pointed out in his speech that the cumulative investments for global business services (GBS) companies with multimedia super corridor (MSC)-status between 2009 and 2014 had reached RM4.07 billion.
"The GBS sector here is also providing more than 8,000 high income jobs to locals and serving both regional and global markets," said Lim.
At 12.53pm, Kerry Logistics shares dipped six cent or 0.53% to HK$11.24 (RM6.29) with 157,104 shares done for a market capitalisation of HK$19.045 billion (RM10.66 billion).
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