It will be the latest company to join the EPS industry following its proposed rm5.4 million acquisition of Perak based software company Syscomp Technology Sdn Bhd.
However it will need to quickly find its niche to avoid going head to head with established players. It can occupy a niche not already taken up by bigger players like GHLSys and MPay.
GHL, MPay and Wintoni are likely to occupy diff segments of the market and only in rare instances will they provide the same service.
In the deal it will acquire 60% stake in SysComp with the remaining equity to be held by existing shareholders.
The principal activities of SysComp are programming services, software development, internet consulting and the provision of ICT.
The purchase will be funded with internal sources.
Tey holds a 4.5% stake in the company and ED.
For the first quarter ended March 31 2015 it posted a net loss of rm461000 on the back of a revenue of rm3.32 million. It attributed the drop in revenue to the planning period for some of if its wireless mobile application projects and the saturation of its existing services.
For FY2014 ended Dec 31 the company was back in the black after four consecutive years of losses, having a net profit of rm4.4 million.