1 Malaysia email provider Tricubes at risk of delisting
KUALA LUMPUR, April 19 — Tricubes Bhd’s RM50 million contract to develop the 1 Malaysia email service could be the financial lifeline of the information technology firm which is at risk of being delisted from Bursa Malaysia as early as October 29 unless it gets its finances in order.
Prime Minister Datuk Seri Najib Razak announced today the company will provide secure email accounts for those above 18 years of age to be used for official communication with the government although many Malaysians say priority should be for utilities rather than an email account
His announcement brought focus on the little-known ACE-listed company, which triggered Bursa Malaysia Securities’ Guidance Note 3 (GN3), paragraph 2.1(f) last year when auditors “expressed a modified opinion with emphasis on Tricubes’ going concern in the latest audited financial statements for the financial year ended March 31, 2010”, according to a filing made by Tricubes on October 29, 2010.
The same filing stated: “If the Company fails to comply with any part of its obligations indicated above, Bursa Securities shall: suspend the trading of the Company’s listed securities on the next market day after 5 market days from the date of notification of suspension by Bursa Securities; and delist the Company subject to the Company’s right to appeal against the delisting under Rule 8.04(6) of the ACE LR.”
Tricubes had earlier tried and failed to get a waiver from Bursa Securities to comply with the GN3 requirements.
As a GN3 company, Tricubes has to submit and implement a regularisation plan, appoint a sponsor until it is no longer deemed a GN3 company, retain the services of a sponsor for three full financial years after the company is no longer considered a GN3 company and announce the status of its regularisation plan monthly.
Tricubes’ latest filing to Bursa Malaysia on April 1 indicates that it is still in the process of regularising its finances.
According to previous filings, there have been “no major developments” since Tricubes was declared a GN3 company, aside from its appointment of M&A Securities Sdn Bhd as sponsor on January 28.
The company was last seen in March bidding unsuccessfully for Khazanah Nasional Bhd’s 32.2 per cent stake in Pos Malaysia. It told the local bourse on April 4 that it won the contract for the 1 Malaysia email service but did not provide details.
The 1 Malaysia concept is a brainchild of Najib to bring unity among Malaysians when he took power in April 2009.
Najib disclosed today the email account will allow direct and secure communication between the public and the government, and is part of a new one-stop web portal for government services.
Najib said the portal will be developed by Tricubes and provide services such as social networking, online bill payment and citizen application development to some 16 million Malaysians.
The Malaysia Insider understands that the 1 Malaysia email service will be using software from Microsoft, the company that now owns the free Hotmail account service that has been eclipsed by another free email provider, Google Inc.
The 1 Malaysia email service is part of Najib’s Economic Transformation Programme (ETP) to achieve developed nation status by 2020. He said today the RM50 million investment will have a gross national income (GNI) impact of RM39 million up to 2015 and will enhance delivery of public services.