KUALA LUMPUR (July 11): Theta Edge Bhd (KL:THETA) has clarified that the project it secured from the Ampang Jaya Municipal Council (MPAJ) will involve an investment cost of RM673.8 million for the Internet of Things (IoT) technology.
"Under this project, Theta Edge will invest RM673.8 million to develop IoT solutions for Smart Economy in Ampang Jaya," it said in a statement on Thursday.
It said the project financing will be managed via local financial institutions, and MPAJ as a statutory body will facilitate the licensing requirements and digitalisation processes of council administration through revenue sharing.
Previously, in its filing to Bursa Malaysia, Theta Edge referred to the RM673.8 million as the “value of the project” that it will incur over the course of 20 years.
The contract, which commenced from July 15, 2024 until July 14, 2044, was secured by its wholly owned subsidiary Theta Telecoms Sdn Bhd on July 2.
Theta Edge’s share price has gained 3.4% since the announcement on Tuesday from RM1.74 to RM1.80 at the time of writing. Year-to-date, the company’s share price has increased 160.87%.
Theta Edge added that the project, as part of the city's Smart Business Initiative, is aimed at transforming Ampang Jaya into a model smart city, leveraging advanced technology to improve business operations, enhance public services, and drive sustainable growth.
"Theta will work closely with MPAJ to assess and identify the best smart city solutions to transform Ampang Jaya into an integrated digital district and provide state-of-the-art technology solutions that meet the evolving needs of modern urban environments," it added.
MPAJ president Dr Ani Ahmad said the collaboration would leverage each other's expertise, fostering cooperation in devising the optimal strategy for implementing a smart city to ensure that MPAJ effectively addresses the community's needs in Ampang Jaya.
"Ampang Jaya will evolve as technology advances. However, achieving the status of a fully smart city might take some time, perhaps around 10 to 15 more years," Ani added.
At the time of writing, shares in Theta Edge were up one sen at RM1.80, valuing the company at RM212 million.
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