☕️ Lotus's owner acquires Village Grocer owner in RM1.7 bil deal

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

34.3 mil – That is Malaysia’s estimated total population as of 4Q2025, according to the Department of Statistics, up 200,000 from 4Q2024. This reflects a slower growth rate of 0.6%, down from 1.2% previously. The Chief Statistician said that the proportion of the population aged 65 years and above rose from 7.8% to 8%, indicating a continuing ageing trend. The young population aged zero to 14 years fell slightly from 21.9% to 21.6%, with the number of live births also declining. The Chief Statistician noted that declining birth and total fertility rates are global trends, raising concerns about ageing populations, population decline and workforce sustainability.

78% – That portion of Malaysian households live in their own homes as of 2024, up from 76% in 2022, signalling an upward trend for home ownership. The Department of Statistics said that home ownership was highest among the top 20% of households at 85.5%, followed by the middle 40% at 75.9% and the bottom 40% at 76.3%. On utilities, electricity access reached 99.9% of households nationwide, treated piped water stood at 97.2%, and waste collection services reached 75.4%.

1,204,995 – That’s how many Malaysians are still living in poverty as of Dec 31, 2025, according to Minister for Sabah and Sarawak Affairs Mustapha Sakmud. This includes 247,062 heads of households. The data comes from the Household Income Survey, which recorded Sabah as having the highest number of people living in poverty at 254,303, followed by Kelantan with 239,850 and Terengganu with 117,159. However, the minister said that there are no Malaysians under the hardcore poverty category, according to the data collected.

3. IN MALAYSIA 🇲🇾

CP Axtra snaps up The Food Purveyor in RM1.7 bil deal
Thailand’s CP Axtra is set to acquire The Food Purveyor for RM1.7 bil from private equity firm Navis Capital, marking one of the largest moves yet in Malaysia’s premium grocery market. The deal is expected to close in the fourth quarter of 2026, pending regulatory approvals and other conditions outlined in the share sale agreement. The Food Purveyor operates 34 Village Grocer outlets, six Ben’s Independent Grocer stores, six ultra-premium The Food Merchant outlets, one BSC Fine Foods store and three Pasaraya OTK supermarkets. The acquisition gives CP Axtra immediate access to prime, high-income urban locations that are generally out of reach for larger hypermarkets.

CP Axtra, the retail arm of Thai conglomerate Charoen Pokphand Group, already has a strong presence in Malaysia with 70 Lotus’s stores acquired in 2020. The group stated that the acquisition allows it to bypass entry barriers in premium neighbourhoods while tapping into growing demand for higher-end grocery formats. The move comes amid regional competition, following Grab’s majority stake acquisition in Jaya Grocer in 2022, in a deal reportedly worth up to RM1.8 bil. Analysts say the acquisition strengthens CP Axtra’s position in Malaysia’s urban grocery market, providing a diversified portfolio that spans traditional supermarkets to premium outlets.

Azam Baki backs live-streamed trials amid scrutiny
Transparency push in corruption hearings: MACC chief Azam Baki welcomed the move to live-stream corruption cases at the Court of Appeal, saying it strengthens transparency and reduces the risk of misreporting. Speaking at a press conference, he said open hearings would allow the public to see how seriously corruption cases are being handled in Malaysia. Broadcasting proceedings also helps prevent inaccurate reporting, particularly in high-profile cases involving multiple parties.

Declines to comment on corporate mafia claims: At the same briefing, Azam declined to respond to questions about alleged corporate-mafia links involving the commission. He stated that he would not comment on issues concerning himself, including Cabinet discussions on a possible Royal Commission of Inquiry, which would await the completion of a separate probe by a special task force chaired by the Attorney-General. The task force is investigating a Bloomberg report claiming Azam’s shareholding in Velocity Capital Partner Bhd exceeded the limit allowed for civil servants. Azam has denied any wrongdoing and confirmed he has given his statement to the authorities. PM Anwar Ibrahim recently told Dewan Rakyat that the probe’s scope may be expanded to include broader allegations, highlighting ongoing scrutiny of the MACC.

Malaysia weighs dual-class shares to stay competitive
Malaysia led ASEAN nations in IPO numbers in 2024 and 2025, driven mainly by ACE Market listings. However, it still does not allow dual-class shares (DCS), a setup popular with founder-led technology companies seeking to retain strategic control. Neighbouring countries such as Singapore, Hong Kong and Indonesia have already adopted dual-class shares. Indonesia, for example, allowed multiple voting shares on Dec 2, 2021, enabling the listing of local tech giant PT GoTo Gojek Tokopedia Tbk in Apr 2022. Grab, originally co-founded in Kuala Lumpur before relocating its headquarters to Singapore, also adopted dual-class shares when it listed on the Nasdaq on Dec 2, 2021. The structure allows founders to keep greater voting power even if they own a smaller stake in the company. This protects them during rapid growth phases, when profits may be low and investor pressure high. Although the concept resurfaced during Budget 2023, regulators have yet to formalise any framework for dual-class shares in Malaysia. Observers note that without clear rules, founder-led companies may continue seeking listings abroad, potentially bypassing Bursa Malaysia.

Balancing growth and investor protection: Governance concerns remain the key sticking point. The Minority Shareholders Watch Group (MSWG) warns that any deviation from the one-share-one-vote principle must come with robust safeguards. These include sunset clauses, limits on voting concentration, stronger independent boards and tighter rules for related-party transactions. Amendments to the Companies Act 2016 and Bursa Malaysia’s listing requirements would also be necessary. Supporters argue that dual-class shares are essential for attracting high-growth and AI-driven companies. Experts highlight the challenge of balancing the appeal for innovative listings with investor confidence.

Shorts:

1. 22 months jail for kitten abuse caught on camera
   A 39-year-old mechanic was jailed for 22 months by the Sessions Court in Shah Alam on Mar 4 after failing to pay a RM60,000 fine for killing a kitten. CCTV footage that went viral last year showed him kicking and throwing the animal, which later died from severe injuries, including a cracked skull and fractured ribs. Watch the video at your own risk here - graphic.

2. Tengku Zafrul named PM’s senior adviser
   Former Investment, Trade and Industry Minister Tengku Zafrul has been appointed senior political adviser to the PM for a two-year term, effective Mar 4. The appointment fills the vacancy left by Datuk Seri Shamsul Iskandar Mohd Akin, who resigned in Nov last year.

4. AROUND THE WORLD 🌎

Warship down
Hegseth confirms Iranian warship off Sri Lanka was sunk by US sub
An Iranian warship, the IRIS Dena, has sunk off the coast of Sri Lanka. Sources in Sri Lanka’s navy and defence ministry said the vessel was attacked by a submarine, though a navy spokesman later denied it. US Defence Secretary Pete Hegseth later confirmed that the Dena was sunk by a US submarine. Sri Lankan authorities reported rescuing 32 people so far and recovering several bodies. The attack appears to be part of the US military’s effort to destroy Iran’s naval capabilities, with Central Command saying it had already sunk 17 Iranian warships. On the state of the war, Hegseth said that the US was winning and could “sustain the fight easily for as long as we need to.”

War has pulled spotlight off Epstein files, says analyst
Atlas Global Strategies analyst Shaiel Ben-Ephraim said that the attack on Iran and its timing was all about domestic politics in both the US and Israel, as there was “very little strategic rationale behind the attack”. For US President Donald Trump, the war served as a distraction from his record-low approval numbers and the worsening economy, not to mention the fallout of the Epstein files. Ben-Ephraim said that Google searches for the Epstein files have plummeted since the war started. This suggests the war might be succeeding as a distraction by taking up the time of Congress and the media. Meanwhile, Israeli PM Benjamin Netanyahu is likely using the war to boost his own approval ratings ahead of elections, which may be called as early as June. Ben-Ephraim said the Gaza genocide was not particularly successful at boosting public approval for Netanyahu, as Hamas was seen as “kind of weak” and Israel did not do particularly well against them. Iran, however, is a “more impressive enemy”.

Business
Anduril's new funding round could value firm at USD60 bil
Defence tech firm Anduril is currently in the middle of a multibillion-dollar funding round that could value the firm at up to USD60 bil (RM236.49 bil). The funding round, led by Thrive Capital and Andreessen Horowitz, comes less than a year after Anduril’s Series G, which raised USD2.5 bil against a USD30 bil valuation. However, the funding round also comes at an awkward time for defence start-ups, as the US government is currently in the process of cancelling all of its contracts with Anthropic after a falling-out. Nevertheless, war is good, in this case. 

Luckin Coffee backer Centurium said to be acquiring Blue Bottle Coffee
Centurium Capital Partners is reportedly in advanced talks to acquire Nestlé’s Blue Bottle Coffee. Centurium, which helped turn around Chinese market leader Luckin Coffee, is said to be putting the final touches on a deal for the coffee roaster and retailer. However, while an agreement may be reached soon, there is no guarantee of a deal. Blue Bottle Coffee is one of several coffee chains that Centurium and Luckin have been eyeing. Blue Bottle Coffee was founded in 2002 in Oakland, California, with Nestlé investing in 2017 by buying a 68% stake for USD425 mil (RM1.7 bil). Meanwhile, Luckin is the largest coffee chain in China with about 31,000 stores and has an estimated market value of USD9.5 bil.

Seoul sees record-breaking market crash as investors brace for energy shock
Investors were dumping bets on chipmakers amid concerns that the widening Middle East war would trigger an oil shock, raising inflation and delay interest rate cuts. This led to a record-breaking market crash in Seoul, with the KOSPI benchmark slumping to a 17-year low after losing more than 18% of its value over two days. The phrase “sell what you can” spread among investors, with the selloff in Asian markets turning disorderly as the war was no longer being treated as a ‘one-week headline shock’. Money-market funds became the beneficiaries, as money flowed their way from riskier bets. Even gold took a hit overnight before steadying at USD5,163 (RM20,350) per ounce. Less than 2 months into the year, KOSPI was up a staggering 47% year-to-date at its highest sometime last week - now it’s down hard. When it’s up too fast, the down will be furious too.

Downright criminal
Meta workers say smart glasses see more than you think
A recent investigation saw Meta contractors based in Nairobi, Kenya, saying they were told to review highly sensitive and intimate footage that was recorded by Meta’s Ray-Ban AI glasses. The footage recorded by the glasses through an integrated camera and microphone array is sent to offshore contractors for data labelling, a widely used pre-processing step in training new AI models. The contractors would be responsible for reviewing and annotating footage. The footage included people going to the toilet or getting undressed, likely because they were unaware the glasses were recording. Other footage included imagery of people’s bank cards, users watching porn, or even filming intimate moments. A contractor said they felt forced to watch and annotate or risk losing their job.

However, Meta has already reserved the right to review a user’s interactions with AIs, including the content of conversations with or messages to AIs. This text is buried in Meta’s AI terms of use. The document also warned that users should not share information that they do not want the AIs to use and retain. Unfortunately, many users are unaware of this. Furthermore, once the footage has been fed to the AIs, the user may lose control over how it is used. Owners of Meta’s AI glasses do not have the option of using the AI features without agreeing to share data with Meta’s remote servers. It’s important to read the terms and conditions, folks.

Georgia teen shooter's father found guilty of murder, child cruelty
Colin Gray, 55, has been found guilty of murder and child cruelty, among other charges. This follows the 2024 shooting at Apalachee High School in Georgia, which left two teachers and two students dead. Gray’s prosecution marks the third time a US parent has been held criminally responsible for a mass shooting carried out by their child. Prosecutors argued that Gray was the “one person who could have prevented” the shooting, arguing he knew his son was “a bomb just waiting to go off”. Gray was also the one who bought his son an AR-style rifle for Christmas the year before the attack, even though the teen had been questioned about online threats to commit a school shooting just seven months earlier. Gray faces at least 30 years in prison, pending sentencing. His son, Colt, is currently awaiting trial for the shooting.

5. FOR YOUR EYES 📺

Money stuff: Salaries, taxes, villains

1. MalaysianPAYGAP has been building a database of salaries across the country. 2026 salaries added below. IG not embedding well, so view directly here. Check out the site here.

2. “In this world, nothing can be said to be certain, except death and taxes - Benjamin Franklin. You can’t avoid death, but at least you can pay lesser taxes - legally of course.

3. “We’re all in the same boat” hits different after viewing this.

4. Money is green, so are villains. Why are villains often in green and purple?