Datasonic in its filling to Bursa Malaysia, informed the Stock Exchange that it had received a Letter of Appointment from the Home Affairs Ministry for the expansion of the Malaysian Automated Clearance System at Bangunan Sultan Iskandar, Jojor Immigration Office.
The RM5,777,000 contract is for the a period of 12 months which is to commence from 1 September 2021 to
31 August 2022. Salient terms of the contract includes for Datasonic furnish a performance bond for the amount of RM288,850.00 to KDN, with the same validity period as the LOA.
Datasonic has been getting a number of contracts from the Ministry including one early this year worth RM4.33million for a comprehensive maintenance services of equipment, software and application of the facial live capture (FLC) at all issuing and receiving centres for the Immigration Department.
Stipulated on the latest contract however is that it will be subject to normal business risks which include the state of the overall economy, pandemic crisis, changes in government regulations and operational risks such as increase in cost due to any escalation of material costs and contractual terms including default provisions. Datsonic will be putting in place appropriate control measures and operational procedures to reduce the impact or likelihood of such events.
The awarding for the contract is expected to contribute positively towards future earnings and net assets per share for the company in the financial year ending 31 March 2022 and the financial year thereafter for the duration of the Contract and will not have any effect on the share capital and substantial shareholders’ shareholdings of the group.
