KUALA LUMPUR, Dec 31 — MyEG Services Bhd (MyEG), through its unit MyEG Capital Sdn Bhd, is acquiring an additional 10 per cent equity interest in security solutions provider S5 Holdings Inc for RM86.5 million, thus raising its stake to 20 per cent.
The e-government service provider said MyEG Capital today inked an agreement to buy 118 million shares in S5 from S7 Holdings Sdn Bhd.
It said S5 Group is a global integrated security solutions provider with expertise in homeland security, defence, and intelligence—areas which are of national interests.
“The proposed acquisition is consistent with the overarching objectives of (MyEG) 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,” MyEG said in a filing with Bursa Malaysia today.
The company said it intends to achieve greater synergies and benefits with the acquisition, thus expanding MyEG’s footprint in Malaysia and strengthening its position as Malaysia’s flagship and preferred e-government services provider.
Meanwhile, S5 will have the opportunity to leverage on MyEG’s established track record, experience and capabilities to enhance its performance and to generate synergies for the mutual benefit of all stakeholders, MyEG said.
The proposed acquisition, to be funded through internally generated funds, is not expected to have any material effect on its gearing for the financial year ending Dec 31, 2022.
MyEG shares finished flat at RM1.07 today, with 14.04 million shares transacted. — Bernama
