MyEG ventures into Indonesia

Firm signs MoU to buy stake in Indonesian e-govt service provider

PETALING JAYA: MyEG Services Bhd has made its maiden entry into the Indonesian e-government service via a strategic parnership.

In a filing with Bursa Malaysia yesterday, the company said it had signed a memorandum of understanding to buy a 40% stake in Indonesian-based e-government service provider PT Cartenz Technology Indonesia for US$10mil (RM42mil).

“Further, MyEG and Cartenz will jointly implement real-time monitoring of business transactions for tax computation purposes across Indonesia,” MyEG said.

Headquartered in Jakarta, Cartenz is an information and communications technology company that is principally involved in the provision of information systems for all levels of government agencies for more efficient management, including in the administration of regional taxes.

To date, Cartenz has deployed its tax monitoring system in some 5,000 business outlets and has provided its tax revenue system to 76 local governments, including Jakarta and Bali.

“We believe that in Cartenz, we have found a like-minded partner that shares our vision of harnessing the power of technology to advance government and commercial service delivery for the benefit of consumers.

“Even as we were rolling out our tax monitoring system in Malaysia over the last two years, Cartenz has been doing likewise in Indonesia, which is proof enough that we share a common vision.

“Obviously, Indonesia’s vast economic potential is undeniable, and we look forward to being very aggressive in deploying to one million outlets within three years,” said MyEG managing director TS Wong.

MyEG said its foray into Indonesia marked the firm’s third joint venture overseas, having been active in the Philippines since 2017 and recently setting foot in Bangladesh.

Shares in MyEG closed one sen lower to RM1.11 yesterday.

MyEG said the combination of the firm’s proprietary solutions, alongside Cartenz’s track record and insights into the local operating landscape, would accelerate the present base of 5,000 installations to a targeted one million installations.

“In addition, MyEG and Cartenz will also collaborate to roll out other solutions that MyEG has successfully deployed in Malaysia and the Philippines,” the company said.