The Board of Directors of Velocity is pleased to announce that Smart Wisdom Sdn Bhd (“Smart Wisdom”), a wholly-owned subsidiary within the financial services arm of the Group, has today received a letter of approval dated 26 July 2024 from the Suruhanjaya Koperasi Malaysia (Malaysian Cooperative Commission) to notify Smart Wisdom of the approval for the issuance of 'Kod Potongan Gaji Biro Perkhidmatan Angkasa' ("Kod BPA"), a payroll deduction code that facilitates the repayments for financing of consumer credit, personal credit, and credit to officers or staff of the Government, statutory bodies, private companies, and entrepreneurs ("the Approval").

The Group had recently on 27 May 2024 completed its acquisition of Smart Wisdom, a company which is currently operating with a moneylending license issued under the Moneylenders Act 1951 from Kementerian Pembangunan dan Kerajaan Tempatan with the purpose of expanding its financial services portfolio. With the Approval, Smart Wisdom will be able to offer its credit financing services to a wider consumer base particularly the Malaysian civil servant population in addition to its existing moneylending services.

The Board expects the business of Smart Wisdom to contribute positively to the overall future earnings of the Group should the potential benefits from the services in relation to the Approval materialise.

This announcement is dated 29 July 2024.