Pecca Group Berhad which has been mainly involved in vehicle leather upholstery till now has been pursuing new ventures to diversify its business and look for additional revenue sources.
The group’s venture into healthcare last year, more specifically in PPE which was called off after the market demand slowed, however, the company had been made statements that it will continue to pursue other business potentials. The latest announcement comes as it signs an MOU with Malaysia Automotive Robotics and IoT Institute (“MARii”)electric vehicles (EVs) parts and components technology.
According to its press statement, the MoU will see MARii assisting the group in its Industry 4.0 adoption and at the same time be involved with Pecca on the development of automotive manufacturing capabilities for an expanded variety of vehicle parts – including EVs, its localisation, and after sales support ecosystem.
Commenting on the MoU signed today, MARii Chief Executive Officer Dato’ Ts. Madani Sahari “We believe this is an important contribution towards electrification in Malaysia, in line with the National Automotive Policy 2020 (NAP 2020) that envisions a strong pool of automotive component suppliers, that are producing the critical components needed to make the NAP2020 a reality”, he added.
Meanwhile, Pecca Group Managing Director Datuk Teoh Hwa Cheng said: “The full duty exemptions for EVs as proposed in the recently tabled Budget 2022 will certainly broaden the market for EVs and EV-specific components in the country. Thus, the collaboration with MARii starting today will mark an exciting journey ahead for the Group to start manufacturing new products related to the EV segment to capture fresh opportunities in the automotive and mobility industry.”
Through this MoU, Pecca aims to transform itself into a Tier 1 supplier which markets and sells its current and new products to OEMs with access to a larger client base.
Pecca has a market capitalisation of approximately RM650 million and is currently the largest automotive leather upholstery player in Malaysia’s OEM and pre-delivery inspection passenger vehicle segments, and it also serves export markets such as Singapore, the US, the Netherlands, Australia, New Zealand, UK, Ireland and China. T
