KUALA LUMPUR (May 14): K-One Technology Bhd said its 60%-owned unit, G-AsiaPacific Sdn Bhd (G-Asia Malaysia), is setting up a company in Singapore to provide cloud computing services.
In a filing with Bursa Malaysia, K-One said G-AsiaPacific (S) Pte Ltd (G-Asia Singapore) will be used to engage with Singaporean customers.
It will provide cloud technology, including infrastructure as a service (IAAS), platform as a service (PAAS), cloud consultancy and design, software and mobile application development and cloud management related services.
K-One noted that COVID-19 has catalysed a number of companies migrating to the cloud, with the phenomena visible in Malaysia, Singapore and across the globe.
“G-Asia Singapore and G-Asia Malaysia are in good position to take advantage of the new business opportunities presented by the COVID-19 pandemic and the acceptance of the new normal whereby employees and employers alike adjust to home-based working, which is likely to be adopted to some extent moving forward,” said K-one.
The COVID-19 pandemic is accelerating the digitalization process for enterprises both large and small, which undeniably is the way forward for business sustainability,” K-One said.
The group said the foray into the Singaporean market is part of G-Asia Malaysia’s overseas business expansion following its penetration of the Indonesian market last year.
K-One acquired the 60% stake in G-Asia Malaysia for RM20.4 million last year from G-Asia Malaysia’s three founders, and has indicated that it will buy up the remaining 40% stake this year through the issuance of K-One shares to the founders.
K-One said the establishment of the new company in Singapore is expected to positively contribute to its earnings, with the capital injection in G-Asia Singapore funded by G Asia Malaysia using internally-generated funds.
Shares in K-One finished 1.5 sen or 4.84% higher at 32.5 sen, giving it a market capitalisation of RM236.91 million.