KUALA LUMPUR (July 3): Nova MSC Bhd (KL:NOVAMSC) and Theta Edge Bhd (KL:THETA) have mutually agreed to end their more than two-year joint venture agreement, according to a Bursa Malaysia filing on Friday.
The two companies formed the venture in September 2023 and incorporated Digital EG Sdn Bhd in November 2023 to provide e-government and technology solutions, including system integration and consultancy services.
Following the termination, both companies said they will discuss the future of Digital EG Sdn Bhd, including the possibility of winding it up.
As at February 2024, the two companies were working on business plans to ensure alignment with strategic objectives, market opportunities, and the joint venture company’s vision, goals, target markets and growth strategies.
In November 2024, the companies said they planned to incorporate Digital EG’s solutions into the Ampang Jaya Municipal Council Smart City Project, while exploring similar opportunities with other federal and state agencies. No further update was provided.
No reason was given for the termination of the partnership. Nova said the move is not expected to have any material impact on its earnings, net assets, or financial results for the year ending June 30.
Nova’s shares closed unchanged at 6.5 sen on Friday, valuing the company at RM140 million. The stock is up 18.18% year to date.
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