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KUALA LUMPUR - VCI Global Limited (NASDAQ:VCIG) announced Monday that its Board of Directors has approved a special dividend consisting of 10% of the share capital of its cybersecurity and AI subsidiary, V Gallant Limited, to be distributed to VCIG shareholders. According to InvestingPro data, VCIG currently trades at $1.19, significantly below its Fair Value, with a solid financial health score rated as "GREAT" despite the stock falling over 98% in the past six months.
The distribution represents the first step in the company's strategy to eventually spin off V Gallant through a Nasdaq IPO. According to the company's statement, management estimates the potential valuation could reach nine figures, based on internal projections and sector comparables. This move comes as VCIG maintains impressive gross profit margins of 51.17% and holds more cash than debt on its balance sheet, as highlighted by InvestingPro analysis.
"This special dividend allows our shareholders to directly benefit from V Gallant's next chapter as it advances toward a Nasdaq listing," said Dato' Victor Hoo, Group Executive Chairman and CEO of VCI Global, in the press release.
The company plans to announce the record date for the special dividend within the next 7-14 days, following clearance from its advisors and transfer agent. Shareholders will receive their pro-rata portion of V Gallant shares through VCIG's transfer agent with no action required on their part.
As preparation for the planned Nasdaq listing, VCI Global is completing V Gallant's audit and valuation review, appointing IPO advisors and underwriters, and forming the dedicated listing entity. The company has also begun early discussions with institutional and strategic investors.
V Gallant provides services including AI compute and consulting, secure data analytics, ISO audit and advisory, and cybersecurity consulting to enterprise and government clients.
VCI Global stated that the separation is designed to enhance transparency and accelerate growth for both entities, according to the press release statement.
In other recent news, VCI Global Limited has announced a significant $100 million transaction with Tether, making Tether the largest shareholder in the company. This deal involves VCI Global integrating the OOB token within its digital-treasury initiative, aimed at supporting future AI, fintech, and blockchain projects. Additionally, VCI Global has acquired $100 million in OOB tokens, positioning itself as the Treasury Manager for the OOB digital-asset ecosystem. This acquisition includes $50 million worth of OOB tokens purchased through the issuance of restricted shares and an additional $50 million to be acquired in cash on the secondary market.
In another development, VCI Global has raised $5 million through a registered direct offering, selling 2,777,778 ordinary shares at $1.80 per share. The offering, facilitated by Rodman & Renshaw LLC, is expected to close at the end of October 2025, subject to customary conditions. Furthermore, VCI Global's subsidiary, Smart Bridge Technologies Limited, has been appointed as the exclusive issuer and treasury manager of the XVIQ token, which is set to launch in the first quarter of 2026. This move will involve overseeing the issuance of up to 1 billion XVIQ tokens to support AI infrastructure and related ecosystems.
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