KUALA LUMPUR — Fashion Valet Sdn Bhd’s (Fashion Valet) poor financial performance is part of the “ups and downs” of doing business, its board member Aireen Omar said on the Apa Cerita Podcast today.
Businesses in the retail sector experience such cycles, she said, adding that the company is currently doing better.
“It’s not just fashion, as you see other retailers facing the same thing. So it was the environment they (FashionValet) were in.
“You might see after Covid-19 there was revenge shopping where some (businesses) saw their sales going up which was unnatural.
“So it’s a matter of knowing what went wrong and knowing how to get out of it better,” said Aireen, who is also Capital A Investment & Ventures president.
“I think they (FashionValet) are doing a lot better right now and they are moving in the right direction,” she added.
The podcast was hosted by Asyraf Khalid, who asked Aireen to explain what had happened in FashionValet that resulted RM43.9 million in losses for government-linked investment companies (GLICs), sovereign wealth fund Khazanah Nasional Bhd and fund management company Permodalan Nasional Bhd which had invested RM47 million in the e-commerce platform in 2018.
The two GLICs sold their stakes in FashionValet for just RM3.1 million in a fire sale to NXBT Partners at the end of last year.
Throughout the podcast, there was no mention either by Aireen or host Asyraf of the fact that the investments in FashionValet had been made with GLICs’ funds or the need for accountability due to the public nature and national obligations of the funds.
Aireen drew on experiences in Capital A, which she said faced challenges as an airline operator during the Covid-19 pandemic when revenue dropped.
Aireen also sympathised with FashionValet’s founders Datin Vivy Yusoff and husband Datuk Fadzaruddin Shah Anuar, saying the online discourse against them was “unfair”.
Netizens are commenting on the issue without knowing the facts, Aireen added, saying this was potentially committing ‘fitnah’ (slander).
Instead, Aireen said the public should encourage young female entrepreneurs and stop trying to bring them down.
“There is a lot of judging out there. Maybe they should look at themselves (because) why are you creating fitnah for nothing?
“You should encourage entrepreneurs out there and give them the right support so they can be a global champion,” Aireen added.
Yesterday, a teaser video for the podcast interview showed Aireen criticising netizens for speculating on controversies surrounding FashionValet.
She said netizens should “maybe have a life” and do things to improve themselves instead.
Aireen also denied any hint of scandal in the company, stating that as a member of the board of directors, company accounts showed no evidence of fraud or siphoning of funds.
Last week, the Malaysian Anti-Corruption Commission (MACC) said it has begun a probe into Khazanah and PNB’s failed investments in FashionValet, which saw the two GLICs sell their collective stakes bought at RM47 million in the e-commerce platform for RM3.1 million.
Today, MACC officers raided FashionValet’s head office in Bangsar, as well as a Khazanah office, a PNB office and the Finance Ministry. Documents were seized which will be studied as part of the agency’s investigation. – November 4, 2024