KUALA LUMPUR (Sept 24): Publishers Pelangi Publishing Group Bhd and Sasbadi Holdings Bhd have won contracts worth a combined RM1.16 million from the Ministry of Education (MoE).

In a bourse filing today, Pelangi said its wholly-owned subsidiary Penerbitan Pelangi Sdn Bhd has today (Sept 24) received a letter of acceptance (LoA) from the ministry, to translate, print and supply the dual language programme textbook for the subject of chemistry and additional mathematics for Form 4, at a total contract value of RM716,130.

The contract will remain valid for 36 months.

"The contract is only expected to contribute positively to the earnings and net assets of the group for the financial year ending Sept 30 2020 [FY20] onwards, during the duration of the contract," Pelangi said.

In a separate filing, Sasbadi said its wholly-owned subsidiary Sasbadi Sdn Bhd had also accepted a LoA from the MoE to translate, print and supply the dual language programme textbook for the subject of mathematics for Form 4, at a smaller contract value of RM444,540.

The period of contract is from Sept 23, 2019 to Sept 22, 2022.

Sasbadi said it is expected to deliver the first tranche of the contract worth approximately RM420,360, in the first and second quarters of the financial year ending Aug 31, 2020 (FY20).

"In this regard, the contract is expected to contribute positively to the group's earnings and net assets for FY20 and onwards, during the duration of the contract," it added.

Pelangi shares were untraded today. They last closed at 34 sen, for a market capitalisation of RM32.84 million.

Shares of Sasbadi closed unchanged at 16.5 sen today, valuing the company at RM69.15 million.