S5 SYSTEMS TARGET TO GET RM1.5B IIS CONTRACT
Leveraging on over 20 years of Intellectual Property, S5 Systems Sdn Bhd believe that the government will award them the RM1.5 biliion contract for National Integrated Immigration System (IIS) by September this year, which is planning a backdoor listing with ConnectCounty Holdings Bhd, is likely to get it.
Photo credit : www.s5.com.my
S5 Systems, a unit of S5 Holdings Inc is a global integrated security solutions provider.
According to its website, it provides the expertise and solutions to meet national challenges in homeland security, defence, and intelligence; areas of vital importance to national interests.
Some of its clients include IBM, Lenovo, Fujitsu, Hewlett Packard Enterprise and DELL.
Sources said that S5 Systems may be the winner of the ISS contract, beating several other companies also eyeing the project, because it had the track record.
A Government vetted company, S5 Systems has been awarded with Multimedia Super Corridor (MSC) Pioneer status and is the winner of “Best of Security” in International ICT Awards (APICTA) 2008 as well as MSC Malaysia APICTA 2013 Best of e-Government & Services.
It was reported that the ISS contract is for a total of 4.5 years including three years of development, six months of monitoring and final one year of maintenance period.
It will replace the RM3.5 billion Sistem Kawalan Imigresen Nasional (SKIN) project, which was awarded to Prestariang Bhd via direct negotiation in 2017.
S5 Systems, which posted a net profit of RM68.3 million for the financial year ended June 30, 2019 is said to be firming up a backdoor listing with ConnectCounty to raise more funds for the ISS contract should it get it.
ConnectCounty told Bursa Malaysia in the middle of June this year that it was in negotiations with the relevant party pertaining to the possible RTO involving S5 Systems.
The company was asked by Bursa Malaysia to clarify an article appearing on the klse.i3investor.com website entitled "This Stock Will Skyrocket More Than Glove Stocks Play! Superb Undervalued!"
It was quoted in the article that ConnectCounty would be the next vehicle for the backdoor listing (reverse takeover) by S5 Systems.
ConnectCounty, a cable and wire manufacturer with manufacturing facilities in China was listed on Bursa Malaysia on October 20, 2005.
For the financial year ended December 31, 2019, the company's revenue and pre-tax loss were RM52.6 million and RM7.2 million, compared to its preceding year's corresponding period’s revenue and pre-tax loss of RM99.6 million and RM9.9 million respectively.
The company's sales dropped in all segments, mainly due to lower sales from key customers amid unfavourable market conditions.
The de-recognition of a subsidiary in China has also resulted in lower sales in the current year.
ConnectCounty said it was implementing strategies to further enhance its presence in the lucrative but highly competitive automotive, white goods and smart connected devices markets.