Friday 29 Mar 2024
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This article first appeared in The Edge Financial Daily on January 17, 2020

KUALA LUMPUR: Datasonic Group Bhd has received a letter of extension to supply 6.1 million raw MyKads and MyKad consumables to the National Registration Department (NRD) in 2020.

The group had in May 2016 announced a three-and-a-half-year contract worth RM260.4 million for the supply of 12 million raw MyKads and MyKad consumables to the NRD, from July 1, 2016 to Dec 31, 2019. “Due to much better quality of the new MyKad raw cards and chips, there were much lower replacements of faulty chips and peel-off of MyKad cards.

“As a result, during the contract period of three-and-a-half years, the NRD only ordered 5.9 million (49.17%) of the 12 million units of MyKad raw cards with huge savings to the government,” it said in a filing with Bursa Malaysia yesterday.

Datasonic said the contract is expected to contribute positively towards its earnings for the financial year ending March 31, 2020 and thereafter for the duration of the contract.

Datasonic’s share price closed one sen or 0.63% lower at RM1.58 after touching a high of RM1.64 yesterday, with a market capitalisation of RM2.13 billion.

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