Prestariang gets RM222.6m deal extension from govt

This article first appeared in The Edge Financial Daily, on January 30, 2018.
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KUALA LUMPUR: The ministry of finance (MoF) has extended Prestariang Bhd’s contract for another three years to supply Microsoft software licences to all government agencies and a training centre for an estimated value of RM222.6 million.

In a filing with Bursa Malaysia yesterday, Prestariang said its wholly-owned subsidiary Prestariang Systems Sdn Bhd (PSSB) had received a letter of award from the MoF on the extension under what it termed Master Licensing Agreement (MLA) 3.0, which would commence from Feb 1 this year to Jan 31, 2021.

Prestariang said MLA 3.0 involves the supply of Microsoft software licensing, products and services, which is an enhancement of MLA 2.0 (Feb 1, 2015 to Jan 31, 2018), and includes a government training centre as a new customer base, with an additional scope of services.

MLA 2.0, according to Prestariang, was a centralised procurement contract which allows all government agencies to purchase Microsoft software licences, products and services through PSSB. PSSB has been appointed a Microsoft Licensing Solutions Provider since 2006.

Prestariang’s president and group chief executive officer Dr Abu Hasan Ismail said the extension is a testament to the Malaysian government’s confidence in the group’s capabilities to deliver services under the contract.

“These include aligning to the Competency Enhancement Program Strategic Plan developed by the MoF to drive the government’s Digital Transformation agenda. In this respect, MLA 3.0 has become a prerequisite,” he said.

Prestariang’s share price slipped three sen or 1.71% to close at RM1.73 yesterday, giving it a market capitalisation of RM839.21 million. In the past one month, the stock has jumped about 13.8%.