KUALA LUMPUR: Khazanah Nasional Bhd and Permodalan Nasional Bhd (PNB) incurred a RM43.9 million loss from the sale of their minority stakes in Malaysian online fashion retailer Fashion Valet Sdn. Bhd.

The Ministry of Finance disclosed this in a written response to a query published on the parliamentary website on Monday.

In 2018, Khazanah invested RM27 million and PNB RM20 million to acquire minority stakes in Fashion Valet.

According to the MOF, the COVID-19 pandemic significantly affected Fashion Valet's business, resulting in a critical need for new capital to sustain operations.

By late 2023, Bumiputera company NXBT Partners offered to acquire Khazanah and PNB's shares in Fashion Valet and provide the necessary capital for the business.

Consequently, all shareholders agreed to accept the offer.

The MOF described the sale as a responsible exit for Khazanah and PNB, enabling Fashion Valet to move forward under a strategic investor capable of meeting its financing needs and revitalizing the business within a challenging industry environment.

"Khazanah and PNB received RM3.1 million from the sale of their shares. The loss from the sale was minimal relative to the overall revenue generated by Khazanah and PNB in the relevant year," the MOF stated.

In September 2024, Khazanah highlighted that its RM27 million investment in Fashion Valet in 2018 reflected its commitment to supporting local entrepreneurs and the startup ecosystem.

PNB's investment aimed to help the burgeoning Bumiputera digital retail company grow into a regional retail platform for Malaysian brands.

Both Khazanah and PNB directed their investments into Fashion Valet to support the company's growth initiatives.