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VINDA SEA OPENS NEW REGIONAL HUB IN MALAYSIA

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The new RM700.5 million state-of-the-art regional hub features a manufacturing plant, warehouse, distribution centre, the Vinda Innovation Centre and an office administration block.

BANDAR BUKIT RAJA, MALAYSIA 16 December 2022 – Vinda Southeast Asia (Vinda SEA), a unit of Hong Kong-listed Vinda International Holdings Ltd, officially opens the new Vinda SEA Regional Hub today; situated in Bandar Bukit Raja, Selangor’s industrial township. With an investment of RM700.5 million, the new state-of-the-art mega facility is located on a 30-acre site filled with greenery and comprises a double-storey manufacturing plant with raw material warehouse, an automated finished goods warehouse, a distribution centre, the Vinda Innovation Centre as well as a six-storey administration block.

The regional hub will not only centralise expertise and high-value activities in Malaysia, but also make the group globally competitive through the use of the latest technologies and processes with automation used where possible. The new facility will bring together the enabling technologies at every stage of the supply chain to further enhance effectiveness, increase efficiency and productivity while lowering costs.

At the same time, Vinda SEA will be upskilling its workforce and vendors to meet the requirements of the new technologies, which would also benefit the whole ecosystem of the personal-hygiene industry in the country.

The Malaysian Investment Development Authority (MIDA) commends Vinda Group’s commitment in strengthening their presence with the new SEA Regional Hub. YBhg. Datuk Wira Arham Abdul Rahman, the Chief Executive Officer, MIDA stated, “Vinda certainly has leveraged their multiple growth enablers of product innovation, human capital upskilling, market expansion and sustainability measures, in addition to the increased support for Malaysia’s vibrant industrial ecosystem.”

“As the market leader for hygiene products in Asia, Vinda remains committed to strategic high-value circular and sustainable paper-based products to provide higher quality products and professional services for their customers. Malaysia’s paper-based products’ capacity is expected to increase exponentially with substantial exports earnings. The country’s existing paper industry players have ventured into advanced production processes and high technology automation, extending their reach even further to provide greater opportunities within the domestic supply chain. The utilisation of 4.0 technologies, features of environmentally-friendly production, as well as efficient monitoring and maintenance adoption will inevitably extend further modern techniques of production within the local industry value chain”, he added.

Su Ting Nee, President of Vinda Group SEA said, “The investment of more than half a billion Ringgit to set up the Vinda SEA Regional Hub represents Vinda’s commitment to Malaysia and to the state of Selangor. With the new Vinda SEA Regional Hub, we anticipate the production capacity will increase by 20 per cent when another 20-acre site build up is completed and fully in operation. Local talent development is prioritised, and the new facility currently houses over 1,200 staff comprising 99 per cent of local community.”

The regional hub will develop, manufacture, and market three different product categories, namely, baby care, incontinence care, and feminine care. The company also markets tissue products, while its personal care brands include Drypers, TENA,
Libresse, Vinda Deluxe, Dr. P, Tempo, and Tork, which are currently the market leaders. This facility will serve mainly the Southeast Asian market, and support sales to more than 25 countries, with Malaysia being the strongest market.

The new Vinda Innovation Centre is the only one outside of China, equipped with full in-house capabilities with a broad set of experts for R&D, innovation, product and material development. The centre adheres a strict international standards for product development, quality and product safety requirements consistent with practices in Vinda and Essity globally. Essity, a leading global hygiene and health Company is the majority shareholder of Vinda International Holdings Limited.

Together, these components encapsulate a state-of-the art facility with the capability and efficiency of the Fourth Industrial Revolution, which is in line with the Government’s Industry4WRD policy.

In 2017/2018, Vinda SEA was named as one of foreign investors with the highest investment in Selangor and the investment of a new regional hub is testament to the company’s continued commitment in making Malaysia as SEA’s hub for hygiene
products.

As of September 2022, a total of 28 projects were implemented with the investment value of RM2.32 billion in Malaysia for sanitary-related disposable products (diapers, baby napkins, sanitary napkins and pads). Vinda Group’s presence in Malaysia
represents the portfolio of European and Chinese investment participation, which have been among the top contributors of high value-added investments in Malaysia.

The official opening of the Vinda SEA Regional Hub was attended by YBhg. Dato’ Sri Norazman Ayob, the Deputy Secretary General (Industry) of the Ministry of International Trade and Industry, Li Chao Wang, Chairman of Vinda Group Chairman,
Magnus Groth, Chief Executive Officer of Essity, Karen Li, Chief Executive Officer of Vinda , Su Ting Nee, President of Vinda SEA, Ms. Umarani Muniandy, Executive Director of Manufacturing Development (Resource) of the Malaysian Investment
Development Authority MIDA and all the company’s Board members from across Europe & Asia.

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