Farhash-linked companies - or FLCs - back in spotlight amid share swings

Shares of two companies linked to PKR man turned multi-millionaire businessman, Farhash Wafa Salvador, have seen sharp ups and downs in recent weeks, drawing the attention of regulators and once again putting the spotlight on the former political secretary to Prime Minister Anwar Ibrahim.

On Nov 5, MMAG Holdings’ shares plunged as much as 32% to 9.5 sen, their lowest level in nearly two years, before ending the day at 10.5 sen. 

More than 260 million shares changed hands, making it one of the most actively traded stocks on Bursa Malaysia last week week.

Earlier, on Nov 3, MMAG responded to a Bursa Malaysia unusual market activity (UMA) query, saying it was unaware of any new development or explanation for the sharp swings in its share price. 

Two days later, on Nov 7, Bursa Malaysia Securities issued a trading reminder, noting that the unusual activity had persisted, advising investors to "exercise caution and consider all available information" before making investment decisions.

By the end of the week, MMAG had lost around 80% of its value, closing at 8.5 sen.

As of 10:22am today, MMAG’s shares were trading at 9.5 sen with a market capitalisation of RM221 million.

MMAG, which operates in logistics, e-commerce and technology, is chaired by Farhash, who also serves as a non-independent director.

Meanwhile, NexG Bhd, which holds just over 9% of MMAG, also experienced heavy selling during the same period and received its own UMA query from Bursa Malaysia following a series of price declines.

This comes days after intense market speculation about investigations into a businessman accused of siphoning funds from publicly listed companies.

According to Corporate Secrets, a website that frequently reveals details about Malaysia's corporate deals and their links to politics, the man has since become a fugitive and is believed to be overseas. MalaysiaNow has not been able to verify this, but is reaching out to the police for confirmation.

Entry into MMAG and link to NexG

Farhash became MMAG’s largest shareholder in March 2025 after acquiring 462 million shares, or 20%, for RM184.8 million.

It was reported that the shares were transacted off-market in four tranches at 40 sen each on March 26, about 65% below MMAG’s market price of 66 sen that day. 

The purchase, made through Velocity Capital Sdn Bhd, was officially disclosed to Bursa Malaysia on March 28.

Not long after, NexG Bhd, previously known as Datasonic Group Bhd, increased its stake in MMAG from 1.95% to 9.53% after buying 175 million shares from former major shareholder Chan Swee Ying for RM70 million, also at 40 sen per share.

In a Bursa filing, NexG explained that the move would allow it to combine its expertise in security and ID technology with MMAG’s logistics and aviation capabilities.

Following these developments, Farhash was appointed chairman of MMAG, replacing former Public Service Department director-general Mohd Khairul Adib Abd Rahman. Around the same period, Khairul Adib surfaced as a substantial shareholder in NexG with a 6.1% stake.

NexG’s government contract

In October 2025, NexG secured a RM732.72 million contract from the Home Ministry to supply MyKad, MyTentera and MyPoca identification cards to the National Registration Department (JPN).

The six-year contract, which runs from June 2026 to May 2032, came roughly six months after Farhash became MMAG’s largest shareholder and NexG expanded its holdings in the company. 

NexG said the project involves a “next-generation upgraded MyKad” designed to improve data security and support integration with government systems for fuel and subsidy distribution.

Before this, NexG had already been awarded another RM1.73 billion contract from the same ministry to supply Malaysian passports. 

Although the timing of the new award attracted public attention, there have been no findings of wrongdoing or regulatory breach.

Since his former boss became prime minister in November 2022, Farhash has been given top positions in numerous companies, among them retail chain outlet 7-Eleven which forms part of billionaire tycoon Vincent Tan's empire, a stockbrocking firm, and a fintech company. He resigned from the company in May 2025.

Business entities linked to him, or what can be termed as Farhash-linked companies (FLCs) stretch across technology, finance and logistics, areas that align closely with the push for digital economy.

Last year, Farhash came under fire from critics concerned about the intertwining of big business and ruling politicians after he secured a substantial stake in a company shortlisted to develop a new billion-ringgit immigration system.

The 42-year-old had emerged as a substantial shareholder in HeiTech Padu Bhd with a 15.91% stake through his company Rosetta Partners Sdn Bhd.

HeiTech Padu was one of three companies shortlisted by the government to develop the RM1 billion National Integrated Immigration System (NIISe) project, a replacement for the Malaysian Immigration System (MyIMMs).

The purchase in HeiTech Padu came just a day after MyEG Services Bhd acquired a 14.4% equity interest in the company for RM31.25 million cash on March 11, 2024.

That same day, HeiTech Padu announced it had received a one-year extension of its contract to maintain MyIMMs worth over RM13 million.

Farhash in response said Rosetta Partners is a subsidiary of Mfivesouthsea Sdn Bhd, which he jointly owns with Kelantan's Sultan Muhammad V.

In January this year, he was appointed executive chairman of Key Alliance Group Bhd, a cloud and data-centre solutions company. 

By April 2025, filings showed he had become a substantial shareholder with a 5.55% stake.

Farhash hit the headlines again in July after MalaysiaNow revealed documents and audio recordings  showing how Bumi Suria Sdn Bhd had been given the green light for a mining exploration licence covering 70,000 hectares near the Kalimantan border - an area almost three times the size of Kuala Lumpur.

The approval for Bumi Suria, a company controlled by Farhash and another individual, came on May 21 last year, just two weeks after Farhash and Aminuddin Mustapha took control of the company.

Farhash has since denied the report and filed a RM10 million defamation suit against MalaysiaNow and its editor.

It is one of many defamation suits by Farhash, including against former Umno man Isham Jalil, Machang MP Wan Ahmad Fayhsal Wan Ahmad and former economy minister Rafizi Ramli.

His purchase of a 20% stake in MMAG Holdings, and his appointment as its chairman, has renewed concerns of politically linked appointments in companies awarded with lucrative government jobs.

Both Anwar and Farhash have so far dismissed growing public concern, saying the latter is no longer active in politics.