Investment Ideas: HB Global Embarks on AI-Driven Agriculture Initiative in Pahang

HB Global Limited, listed on the Main Market of Bursa Malaysia, has announced a joint venture with HIS Holdings Sdn Bhd to develop an AI-powered agriculture and plantation project on a 500-acre site in Pekan, Pahang.

Under the agreement, HB Global will hold a 55% stake in the joint venture entity, HB Global Capital Sdn Bhd (HBGC), while HIS Holdings will own 45%. The venture represents a significant step towards modernising agricultural practices through advanced technology.

The project, which involves an investment of up to RM9.0 million, will leverage artificial intelligence to monitor and optimise factors such as soil quality, climate conditions, and crop health.

This is expected to increase yields, enhance efficiency, and improve plantation output. IoT devices and sensors integrated with AI analytics will provide real-time insights, reducing reliance on manual labour and ensuring resource optimisation.

To support the implementation, HB Global has partnered with Work At Cloud Sdn Bhd, a Malaysian technology firm specialising in AI enterprise solutions. With over 20 years of experience, Work At Cloud has a proven track record of delivering agricultural projects that reduce harvest cycles and optimise costs.

The technology deployed in this project will also enable traceability, promoting sustainable farming practices and ensuring food safety.

This project aligns with Malaysia's push towards sustainable and technology-driven agriculture, as highlighted in the MADANI government’s initiatives. Budget 2025 allocated RM6.42 billion to the Ministry of Agriculture and Food Security, reflecting a strong commitment to revitalising the sector. HB Global’s focus on AI-powered agriculture supports this vision by contributing to enhanced productivity and food security.

HB Global aims to position the Pahang project as a model for modern farming in Malaysia, with the potential to scale similar initiatives nationwide. By combining its expertise in upstream agriculture with HIS Holdings' resources, the Group is taking a significant step toward advancing Malaysia’s agricultural sector.

This development marks a strategic move for HB Global as it strengthens its footprint in the agriculture industry while exploring innovative solutions to meet evolving market demands.