KUALA LUMPUR (July 9): Theta Edge Bhd (KL:THETA) has secured a project from the Ampang Jaya Municipal Council for the development, provision and maintenance of Internet of Things (loT) for its smart business initiative in Ampang Jaya.

Theta Edge will incur operating expenditures of RM673.8 million in next 20 years to develop IoT there.

In a filing with Bursa Malaysia on Tuesday, Theta Edge said its wholly owned subsidiary Theta Telecoms Sdn Bhd had on July 2 received an offer letter from the council for the contract with a concession period of 240 months commencing from July 15, 2024 until July 14, 2044.

“The value of the project is estimated at RM673.8 million for a concession period of 240 months commencing from July 15, 2024 until July 14, 2044,” read the filing.

However, when contacted by The Edge, the company clarified that the “project value” of RM673.8 million stated in its filing to Bursa refers to the operating expenditure it will incur for the said project over the course of 20 years.

"The board of directors of the company is of the opinion that the agreement and the project are within the ordinary course of business of Theta Edge group and is for the best interest of the company as it will foster the company’s growth in digital telecommunication engineering services, specialised communication network and smart city industry," it said.

Separately, Theta Edge also announced the appointment of former secretary general in the Ministry of International Trade and Industry Tan Sri Abd Rahman Mamat as its new chairman of the board, taking over from Tengku Datuk Seri Hasmuddin Tengku Othman, who has held the position since Nov 29, 2021.

Abd Rahman also sits on the board of MBSB Bhd (KL:MBSB), Lotte Chemical Titan Holding Bhd (KL:LCTITAN), MCE Holdings Bhd (KL:MCEHLDG), and ECA Integrated Solution Bhd (KL:ECA).

Besides Abd Rahman, Theta Edge also appointed Datuk Dyg Sadiah Abg Bohan as a non-independent non-executive director of the board.

"These appointments are part of the efforts to drive the group's business in response to changing economic conditions with fresh new ideas," the company said in a statement.

"Theta firmly believes that this decision marks a significant milestone in Malaysia's digital journey and will provide the necessary focus, drive, expertise and support to help accelerate the nation's digital transformation," it added.

Shares in Theta Edge ended four sen or 2.25% lower at RM1.74 on Tuesday, giving the group a market capitalisation of RM205.26 million.

Note: When contacted, Theta Edge clarified that the project value of RM673.8 million stated in its filing to Bursa Malaysia dated July 9 is the operating expenditure for the project. The article has been amended for accuracy.

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