VCI Global expands into Singapore with Roots Digital acquisition

VCI Global, a holding company based in Malaysia, has announced its acquisition of digital marketing firm Roots Digital, a move that will mark its official entry into the Singapore market.

Valued at approximately US$2.2 million, the acquisition follows Roots Digital's "strong financial performance," which saw over US$3 million in revenue and nearly US$900,000 in profit in 2024, driven by an 84% YoY revenue growth over the past three years, according to a press release.

Through the acquisition, VCI Global will strengthen its capabilities in areas such as SEO, paid media, and social media advertising, expanding its regional presence.

This move positions VCI Global to capitalise on the rapidly growing digital marketing sector, which is projected to reach US$1.2 trillion by 2033. With a compound annual growth rate of 11.22% from 2025 to 2033, the industry's growth is largely driven by increasing internet penetration, as reported by IMARC Group.

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Roots Digital, which specialises in performance marketing across various digital platforms, stands out for reducing customer churn, maintaining an average client retention rate of 24 months.

The firm serves a diverse client base in both Malaysia and Singapore. Notable clients include the National University Cancer Institute Singapore (NCIS), Microsoft Corporation, Parkway College of Nursing and Allied Health, and Orita Sinclair School of Design and Music.

In addition, Roots Digital is a pre-approved vendor under the Infocomm Media Development Authority's Productivity Solutions Grant, helping local SMEs secure up to 50% funding for digital marketing services.

"With this acquisition, we are excited to expand in Singapore, with this move paving the way for future acquisitions that will broaden our offerings and add greater value to clients. The acquisition also serves as a strategic move that will synergise our other key strengths, such as IPO consultancy and AI-related services," said Dato' Victor Hoo, VCI Global's group executive chairman and CEO.

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