KUALA LUMPUR: Software and application developer, Omesti Bhd has bagged a RM95.58 million contract from Telekom Malaysia Bhd (TM) for its TM Business Support System (BSS).
The contract is for among others - design, development, customisation, configuration, delivery, installation, integration, conversion, migration, testing as well as commissioning and training.
The contract duration is two years, commencing from fourteen days after the expiry of the Movement Control Order (MCO), it said in a filing to Bursa Malaysia here, today.
Omesti said the contract is subject to the acceptance of the letter of award (LoA) by the company and a formal agreement to be entered into between TM and itself within three months from the date of the LOA.
Pursuant to the terms of the LOA, the renewal of the application software subscription for the period of Year three, four and five at an estimated price of RM104.99 million is subject to TM Management’s approval and the actual quantity of subscription shall be based on verification on the actual number of active subscribers in the BSS on a monthly basis, it explained.
The LOA is expected to contribute positively to the revenue, earnings per share and net assets per share of Omesti Group and is not expected to have a material effect on the gearing of Omesti Group for the financial year ending March 31, 2021, onwards until the expiry of the contract, it added.