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Jobstreet bags RM7.7m funding

JobStreet.com Pte Ltd, a Pan-Asian online recruitment firmheadquartered here, has received RM7.7 million in funding from SumitomoCorp, Walden International and Intelligent Capital.

KUALA LUMPUR--JobStreet.com Pte Ltd, a Pan-Asian online recruitment firm headquartered here, has received RM7.7 million in funding from Sumitomo Corp, Walden International and Intelligent Capital.

Jobstreet will use the funds to expand its Asian operations and invest in possible acquisitions, a company spokesperson told Malaysia.CNET.com today.

While the latest investment is expected to last for the next four years, it is unlikely to be utilized for its Malaysian operations, she said.

Established in 1995, Jobstreet was voted Malaysia's Internet company of the year for 2000. Apart from Kuala Lumpur and Penang, it has offices in four Indian cities, Singapore and the Philippines.

The company claims to have a million members, facilitating more than 3,000,000 career matches a month.

The investment comes as a surprise to many as the Nasdaq crash last April saw the demise of many a dotcom. The current economic slowdown is of no help either. However, some analysts believe that this could be the turning point for many e-businesses in Asia.

"The online recruitment industry is poised to take off in Asia and if JobStreet plays its cards right, it may be a successful player in the region. So, the funding would probably go a long to ensuring that they are able to survive the current economic downturn," said IDC Asia Pacific research manager (B2B Internet research) Richard Jacobson.

Jacobson believes that the recruitment industry is well-suited for the Internet platform. "The Internet is making it easier for potential employees to find jobs and it also helps employers to reach out to a wider set of employees because it's cross border. In addition, the information that can be accessed from online recruitment sites are immediate as compared with traditional recruitment."

Staff writers Fran Foo reporting from Singapore and Sreejit Pillai from Kuala Lumpur.