Khairy launches Flowstate as GE16 uncertainty looms, to advise on political, investment risks

KUALA LUMPUR, Aug 26 — Former health minister Khairy Jamaluddin has launched boutique corporate advisory firm Flowstate Advisors, offering public and private sector clients advice on political transitions, strategic capital deployment and major business decisions ahead of the 16th general election (GE16).

The Edge reported that Khairy, who is the firm’s executive chairman, said Flowstate’s launch comes amid global geopolitical and economic turbulence as well as domestic political developments, with a general election expected within the next 18 months.

“Why we launched it now is because there’s a lot of uncertainty in terms of global, both geopolitical and economic environment, as well as the local political environment in which you will inevitably see a [general] election happen within the next 18 months,” Khairy told reporters after the launch ceremony today.

He said political changes could influence how institutions allocate capital and evaluate long-term investments, particularly projects linked to government policies, statutory bodies, government-linked companies (GLCs) and public blueprints.

“Going forward, this is longer-term advisory work that we will be able to offer — addressing what happens in case there’s a political transition not just in Malaysia, but in other countries,” he said.

Asked about speculation that he could return to politics, Khairy said he preferred not to deal with hypothetical scenarios for now, stressing the importance of ensuring business continuity for Flowstate and his other ventures, including Keluar Sekejap.

“I think I still have at least a year to build this business, and that’s a lot of time to create a pipeline. Whatever happens later, happens later. I don’t think they will mind if their ex-partner is in government,” he said.

Flowstate plans to step up marketing over the next quarter as corporations finalise their 2027 business plans, with Khairy expecting increased demand for advisory services over the coming year.

“We believe there’s a lot of work coming in the next one year,” he said.

Khairy said the firm would remain sector-agnostic while pursuing opportunities linked to increased capital deployment by GLCs and state investment road maps.

He said Flowstate would adopt a lean, partner-led structure, putting together dedicated teams for individual mandates instead of maintaining a large permanent workforce.

“Being small is not something we apologise for. It is the whole point,” he said, adding that partners would remain directly involved and accountable for every engagement.

Khairy said local organisations sometimes favour international consultancy firms when making major decisions or undergoing restructuring, which he attributed to the perceived credibility of global brands, and said Flowstate was established to provide an independent Malaysian alternative.

The firm operates across four areas — public-sector advisory, deal advisory, strategy and transformation, and value creation and implementation — and is collaborating with Natural Capital Partners on mergers and acquisitions, corporate finance and venture scaling in the natural capital and sustainability sectors across Southeast Asia.

The founding team comprises Khairy Sulaiman, Ezri Othman, Dimishtra Sittampalam, Rizuan Ahamad, Fakhrulrazi Fauzi and Richard Lee.