KUALA LUMPUR (April 29): NetX Holdings Bhd, whose shares were the most actively traded on Bursa Malaysia today, is teaming up with Australian financial services provider Finexia Securities Ltd to introduce, promote and operate a point-to-point currency exchange digital platform that NetX developed, which comes with an in-built e-wallet function, in Australia.

The group's wholly-owned E-FX Sdn Bhd has inked a two-year collaboration agreement with Finexia Securities for the collaboration, according to NetX in a stock exchange filing.

Under the agreement that commences today, Finexia Securities will have the exclusive right to use and operate the E-FX platform in Australia. In return, it will have to generate a minimum revenue of A$4 million (some RM11.32 million) over the next two years, A$1 million in the first year and A$3 million in the second year.

Any profits generated from the spread of forex, remittance, investment and balance floats of the E-FX platform will be split on a 50-50 basis between E-FX and Finexia Securities.

The initial rollout and market testing of the E-FX platform will be carried out in Malaysia and Australia. Towards this end, NetX's partnership with Finexia Securities will allow NetX to penetrate into the Australian markets under the steady hand of Finexia Securities, "who specialises in the equity capital markets and possesses ample experience in dealing with the Australian authorities", NetX said.

"Finexia Securities will be responsible to secure as soon as possible the fintech regulatory sandbox licence from the Australian Securities and Investment Commission for the initial real market testing of the E-FX platform in Australia," NetX added.

The idea behind the platform is to eliminate travellers’ needs to visit the traditional brick-and-mortar currency exchange dealers, and the frustration that usually entails, said NetX executive director Steve Tan.

It is also to take away worries about personal safety from carrying around huge amounts of cash, as well as address the issue of having to deal with small foreign notes that dealers refuse to accept after a vacation abroad. "The last issue was what prompted us to incorporate an e-wallet function into the E-FX platform in the first place," Tan said.

NetX shares closed 50% or half a sen higher at 1.5 sen per share today, valuing it at some RM67.69 million, after 146.65 million shares exchanged hands.