KUALA LUMPUR (Oct 10): mTouche Technology Bhd has aborted its plan to jointly develop and operate the SMART4 public phone and WiFi hub terminal for Thai stated-owned telecommunications company TOT PCL with G.I.S. Park (Thailand) Co Ltd.

In a filing with Bursa Malaysia today, mTouche said there were certain issues relating to the due diligence review which cannot be resolved to the satisfaction of its subsidiary mTouche (Thailand) Co Ltd.

"As mTouche Thailand and G.I.S. could not reach an agreement on major terms and conditions in respect of the proposed collaboration; both parties have decided not to extend the memorandum of understanding (MoU) upon the [MoU's] expiry on Oct 9," mTouche said.

"Upon the expiry of the MoU, mTouche Thailand will have no further obligation to proceed with the proposed collaboration," the filing added.

On April 10 last year, mTouche Thailand had entered into the MoU with G.I.S. whereby mTouche Thailand will be the solution and technology partner of G.I.S. for the proposed project.

G.I.S was awarded the contract by TOT to implement this modernisation plan for a minimum of 10,000 SMART4 public phones and WiFi hub terminals, covering five major areas in Bangkok and five provinces in northern Thailand, namely Chiang Mai, Chiang Rai, Phitsanulok, Lampang and Sukhothai.

mTouche shares closed unchanged at 10 sen today, with 5.27 million shares done, bringing a market capitalisation of RM68.49 million.