KUALA LUMPUR (Nov 5): Shares in Mesiniaga Bhd rose 7.2% this morning after it bagged a contract worth RM16.05 million from the Employees Provident Fund (EPF) for the supply of computer hardware, software, maintenance and IT-related services.

At 9.27am, Mesiniaga rose 9 sen to RM1.34, valuing it at RM80.94 million.

The contract will commence on Nov 11 and the delivery of the computer hardware and software is expected to be completed within five months.

The warranty period, on the other hand, shall be for a duration of three years, with an option to extend the warranty period for the fourth and fifth year at a fixed price of RM250,000 per year, the company said.

The proposed transaction will have a positive effect on the company's net assets for the financial year ending Dec 31, 2019 (FY19), and is also expected to contribute positively to the company's earnings during the contract period.