KUALA LUMPUR (Dec 21): Shares in Mlabs Systems Bhd were the second most actively traded securities on Bursa Malaysia during Thursday morning trade, after the company entered into an agreement to distribute LG products in Malaysia.
At the time of writing, the counter saw 60.18 million shares done — about three times its 200-day trading average volume — while gaining half a sen to settle at one sen, giving it a market capitalisation of RM7.25 million.
On Wednesday, MLabs said it had signed a master sales agreement with LG Electronics (M) Sdn Bhd to distribute LG products in Malaysia, outlining their respective obligations and responsibilities.
The agreement supersedes and replaces an earlier memorandum of understanding (MOU) signed by the two parties in June indicating MLabs’ interest in distributing LG products in the country.
In its first quarter ended Sept 30, 2023 (1QFY2023), the company’s net loss widened to RM3.52 million, from RM2.41 million a year ago on the back of higher asset depreciation and a fair value loss on quoted shares, despite a 17.07% increase in revenue to RM5.28 million from RM4.51 million in 1QFY2022.