Treasure Global Inc (NASDAQ:TGL) has signed a collaboration agreement with VCI Global Limited (NASDAQ:VCIG), a multi-disciplinary consulting group focused on business and technology.

The agreement is for the development of an artificial intelligence ("AI")-powered travel platform as a new offering for travelers in Malaysia.

The AI-powered platform will function as a high-tech portable concierge App, utilizing the latest advanced technologies to provide relevant travel recommendations in real time.

The app will help users in planning travel and related activities, such as suggesting places to explore, dining during their travels in Malaysia and to improve on bookings for flights, hotels and car rentals.

As part of the agreement, VCI Global will pay a service fee to TGL worth $1 million.

TGL will produce the integrated software platform and provide maintenance for the AI-powered travel app, which is targeted to launch next year.

TGL and VCI Global will share ownership and profits generated from the collaboration on a 50:50 basis.

"We believe that global tourism has returned to its pre-pandemic levels, and we are well-placed to capitalize on the post-pandemic 'revenge travel' phenomenon through our collaboration with VCI Global," said CEO Sam Teo.

Price Action: TGL shares are trading lower by 2.05% at $0.8083 on the last check Wednesday.