KUALA LUMPUR – MIDF Research is optimistic about MYEG Services Bhd’s (MYEG) outlook, believing that the company’s impressive track record will boost the likelihood of it securing another three-year extension for its e-government concession next month.
The research firm is also optimistic about the group’s innovative initiatives in spearheading blockchain solutions, which are expected to drive sustainable growth in the mid- to long-term, along with the strategic expansion of its existing business segments.
At the same time, it noted that MYEG’s sub-subsidiary, MY EG Lodging has been awarded a tender by the Penang Development Corporation to construct, complete, manage, and operate a workers’ village and related facilities at the Batu Kawan Industrial Park 3 in Penang, entirely at its own cost.
According to MIDF Research, the successful completion of this project is expected to yield favourable outcomes for MYEG’s immigration segment, which constitutes 35% of its total revenue
“The project is anticipated to be GreenRE certified, serving as a testament to MYEG’s environmentally conscious design and construction practices,” it said.
As such, MIDF Research has maintained its “buy” stance on MYEG’s shares, with an unchanged target price of RM1 per unit.
At 11.19am, MYEG’s shares rose four sen to 81 sen with 136.83 million units transacted. – Bernama, April 13, 2023
