In a strategic shift, ECO World International Bhd (EWI) is preparing to enter Malaysia’s property sector after years of operating exclusively abroad. The company will dissolve its longstanding territorial agreement with Eco World Development Group Bhd (EcoWorld Malaysia), allowing both firms to pursue new opportunities independently. This decision follows prolonged challenges in EWI’s key overseas markets, including the UK and Australia, where economic volatility has hampered growth.
The termination of the collaboration agreement removes previous restrictions that prevented EWI from operating in Malaysia and barred EcoWorld Malaysia from expanding internationally without EWI’s involvement. Additionally, the licensing rights for the ‘EcoWorld’ brand will cease, prompting EWI to propose a rebranding as EWI Capital Bhd. Shareholders from both companies will vote on these changes at upcoming extraordinary general meetings.
EWI’s pivot to Malaysia reflects a calculated move toward stability, as domestic property development offers more predictable revenue streams compared to volatile foreign markets. CEO Datuk Teow Leong Seng highlighted the advantages of progressive revenue recognition and lower operational risks in Malaysia. To finance its new ventures, EWI intends to liquidate slow-moving overseas assets and utilize its debt-free balance sheet and existing cash reserves.
The restructuring also benefits EcoWorld Malaysia, which can now explore international expansion—potentially in Singapore—without restrictions. Meanwhile, key executives Tan Sri Liew Kee Sin and Datuk Heah Kok Boon have stepped down from EWI’s board to avoid conflicts of interest. EcoWorld Malaysia will reclassify its 29% stake in EWI as a passive investment, while Paramount Corp Bhd, holding a 21.54% stake, continues as a major shareholder focused on local development.