KUALA LUMPUR (Sept 21): Green Packet Bhd has teamed up with MMAG Holdings Bhd, whose share price shot up 29.37% today, to set up a digital payment system for migrant workers.

In a bourse filing, Green Packet said its wholly-owned unit Kiplepay Sdn Bhd had entered into a master agreement with MMAG's wholly-owned subsidiary MMantap Sdn Bhd.

Under the master agreement, Kiplepay's Kiplepay e-wallet and digital payment system would be deployed. As such, MMantap seeks to use Kiplepay's digital payment payment solution for migrant workers managed by it.

The tenure of the master agreement is two years (24 months), and will be renewed for successive periods of one year (12 months) each.

"The services are in the ordinary course of the business of Green Packet group. The services are not expected to have any material effects on the earnings per share, net assets per share, gearing, share capital and substantial shareholders' shareholdings of the company for the financial year ending Dec 31, 2020.

"None of the directors, major shareholders and persons connected with a director or a major shareholder of Green Packet Bhd has any interest, direct or indirect, on the master agreement," it said.

Green Packet said the e-wallet, which could be extended to 2.5 million foreign workers that are managed by MMantap, is dynamic and is contingent on borders reopening and government policies.

Shares in Green Packet finished unchanged at 53.5 sen, valuing it at some RM588.04 million. It saw 13.02 million shares traded.

MMAG shares were up by 29.37% or 37 sen at RM1.63, making it the fourth top gainer, in terms of value, across the board. In contrast, its warrant price took a nosedive, down 15.8% or 6.5 sen to 34.5 sen.