KUALA LUMPUR (Oct 17): MyEG Services Bhd said it has received a two-year extension of its immigration related services contract, but has to complete a system enhancement before being allowed to resume accepting applications for the services.
In a filing with Bursa Malaysia, the group said it received the letter of acceptance from the Ministry of Home Affairs on Tuesday, and an agreement to formalise the extension will be signed at a later date.
The e-government services provider added that it will announce the commencement date of the system enhancement in due course.
MyEG said the estimated total value of the extension will be dependent on the number of transactions performed over the two-year period.
“The board is of view that the extension is in the best interest of the company, and is expected to contribute positively to earnings and net assets per share of the company for the financial year ending Dec 31, 2023,” it said.
The group's three-year concession for immigration-related services was scheduled to end on May 22, following an extension from May 2020. In July, MyEG said it had received a notification letter dated July 4 from the Ministry of Home Affairs to confirm that the Ministry of Finance had agreed to an extension of the concession.
Last month, the group said it was still finalising the terms of an immigration-related services concession with Putrajaya, after announcing that it had stopped accepting applications from customers on its portal.
Kota Melaka Member of Parliament Khoo Poay Tiong earlier complained that MyEG was illegally collecting fees for its foreign worker permit renewal services, but the group denied that it was misrepresenting the immigration services offered via its online platform.
Shares in MyEG settled half a sen or 0.61% higher at 82.5 sen on Tuesday, valuing the group at RM6.24 billion.