ACE Market-listed Nova MSC Bhd has inked a memorandum of understanding (MOU) with Theta Edge Bhd, a member of the Tabung Haji Group, to collaborate on joint marketing and promotion of healthcare, public sector and applied artificial intelligence (AI) solutions and products in Malaysia and the ASEAN region.
Main Market-listed Theta Edge is a company focusing on information communication & technology (ICT) services and telecommunication engineering industry while Nova MSC is involved in four main business pillars namely, healthcare, digital government, building automation and virtual construction.
The MOU intends to set forth the general understanding of Nova MCS and Theta Edge in relation to their strategic alliance.
A filing with Bursa Malaysia today shows that Nova MSC will play the role as a technology partner to Theta Edge, jointly assessing or deciding the solution, architecture, suitability of technical components and interoperability with third-party systems or the existing IT infrastructure.
Meanwhile, Theta Edge will develop a mutually acceptable business plan for the products in Malaysia and other ASEAN countries together with marketing and commercial plans with delivery timelines.
Aside from that, Nova MSC will also take the lead in technical sales, pre-sales and sales activities to support Theta. This includes but is not limited to end-user training, technical assistance and support services upon the successful award of a project.
“We look forward to establishing a fruitful relationship with Theta Group which is one of the pioneers in the ICT industry in Malaysia,” commented Nova MSC’s group CEO Lai Teik Kin.
“We believe that the collaboration will help to provide a win-win situation for both companies and help us to expand our businesses in the healthcare, public sector and applied AI business in Malaysia and other ASEAN Countries.”
Similarly, Theta Edge’s group CEO Nuraslina Zainal Abidin expressed optimism that its collaboration with Nova MSC brings together the respective domain expertise of each party to expand its offerings in digital and technology transformation.
“This is timely as we move into an age of fast-paced technologies, a new dimension that will pave the way for digital transformation across every industry and market.” she noted.
According to Nova MSC’s Lai, the priority of the MOU is to deepen cooperation between the company and Theta Edge with the main objective of a long-term strategic partnership to collaborate in opportunities in Malaysia and opening new markets in other ASEAN countries.
“We are confident that a long-term strategic partnership and collaboration with Theta will put us on an accelerated path to growth and expansion over the next five years,” he added.
The duration of the MOU will remain in force for 12 months with both parties having agreed to enter into commercial discussion at a later stage to determine the sharing of revenue derived from the collaboration.
At the close of today’s trading. Nova MSC was unchanged at 12 sen with 977,500 shares traded, hence valuing the company at RM142 mil, while Theta Edge was down 1.5 sen or 2.04% to 72 sen with 242,700 shares exchanged hands, hence giving the counter a market capitalisation of RM85 mil. – Jan 31, 2023
