Friday 29 Mar 2024
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KUALA LUMPUR (Dec 31): MY EG Services Bhd (MYEG) has proposed to buy a 10% stake in S5 Holdings Inc, a company that provides integrated security IT solutions to governments, for RM86.5 million.

The group is buying the stake from S5's existing shareholder, S7 Holdings Sdn Bhd, said MYEG in a bourse filing.

Based on the audited report for the financial year ended June 30, 2020, the net asset attributable to the shareholders of S5 amounted to RM50.25 million, and its net profit amounted to RM28.52 million.

MYEG said it intends to leverage the relationship with S5 to achieve greater synergies and mutual benefits and expand the company's footprint in Malaysia as well as strengthen its position as an e-government services provider.

"The proposed acquisition is consistent with these overarching objectives as S5's business activities, solutions and systems are complementary to the company's existing and prospective service offerings, especially within the immigration space in Malaysia," it added.

MYEG's share price closed unchanged at RM1.07, giving a market capitalisation of RM7.93 billion. The stock saw 14.04 million shares change hands.

Edited ByS Kanagaraju
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