5X Capital, a private equity fund with a diverse portfolio of companies including BFM Radio and Vida, has acquired a stake in coworking and event venue, Colony Coworking Space. Through this strategic investment into one of the largest coworking operators in the country, 5X Capital is looking to capitalise on the nation's growing flexible workspace market.
A representative of 5X Capital commented that this poses as an incredible opportunity to meaningfully support Colony for greater growth as yheir success in being one of the few profitable coworking operators in the industry is a testament to the company's strong brand and execution.
Speaking on the occasion, Timothy Tiah, CEO of Colony Coworking Space, also said: "Colony has always been about sustainable growth: Growing while maintaining a minimum of being EBITDA neutral so we don't burn cash. With that we find 5X Capital as partners that are aligned with our goal of sustainable growth."
"Their experience and resources will be invaluable as we continue to expand and meet the growing demand for coworking spaces in the region."
Colony Coworking Space, which currently operates 12 locations in Kuala Lumpur between its namesake brand and its mass-market brand Jerry, has a total footprint of 170,000 square feet in Kuala Lumpur. Earlier this month, Colony also announced a new deal with property developer Sunsuria Berhad to open a new Colony in Sunsuria Forum at Setia Alam.