G3 Global secures 30-year concession to develop migrant worker dorms in Maldives

• The group said its wholly owned subsidiary Atilze Digital Sdn Bhd had on Wednesday received the letter of award from the Maldives Ministry of Homeland Security and Technology, granting Atilze Digital the exclusive rights to implement the National Integrated Migrant Workers Dormitory.

KUALA LUMPUR (July 11): Internet of Things (IoT) solutions provider G3 Global Bhd (KL:G3) has secured a project to develop the National Integrated Migrant Workers Dormitory (NiMWD) for the Maldives government.

In a bourse filing, the group said its wholly owned subsidiary Atilze Digital Sdn Bhd had on Wednesday received the letter of award from the Maldives Ministry of Homeland Security and Technology, granting Atilze Digital the exclusive rights to implement the NiMWD. This project aims to oversee and manage the accommodation and welfare of all migrant workers in the Maldives.

The project will be undertaken through a public-private partnership model, with 100% private finance initiative and revenue sharing between Maldives and G3 Global.

The concession period for the project is 30 years, starting from the date of issuance of the land lease, with an automatic extension of an additional period of 30 years.

Among the project's terms and conditions is that a joint venture company will likely be formed for the project.

Meanwhile, the project will generate revenue through fees charged to employers for each migrant worker at US$100 (RM468.77) per month for the first year, before increasing to US$120 per month, of which US$5 shall be shared with the Maldives government. The fee will be subject to periodic review.

Further, the Maldives government must ensure that it will make using these dormitories mandatory for employers through legal and regulatory means. The Maldives government has acquired all permits and approvals under Maldivian law to give effect to the commitments for the project.

The final terms and conditions of the project will be determined before the concession agreement is signed, said G3 Global.

“The awarded project is expected to contribute positively towards the earnings and earnings per share of G3,” it added.

G3 Global posted a net profit of RM63,000 for the first quarter ended March 31, 2024 against a RM1.09 million net loss a year earlier, while revenue rose to 14.82 million from RM9.54 million.

Shares of G3 Global closed up half a sen, or 16.67%, at 3.5 sen on Thursday, valuing it at RM132.08 million.

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