Mlabs Systems announces collaboration with Singapore firm after UMA query

PETALING JAYA: Multimedia conferencing system software developer Mlabs Systems Bhd, whose share price hit a record of 46.5 sen last Friday, said the recent sharp rise in its share price and trading volume could be due to its collaboration with Singapore’s e-horizon Asia Pte Ltd to distribute its multimedia videoconferencing and mobile application products.

In response to an unusual market activity (UMA) query by Bursa Malaysia, the company said it had entered into a distribution and technology collaboration memorandum of intent with e-horizon Asia Pte Ltd. It said the collaboration was done in the ordinary course of the company’s business.

Mlabs told Bursa Malaysia that both parties will share technology and jointly undertake research and development to improve existing mobile applications. The memorandum is valid for a year.

In addition, Mlabs said it is also in discussion with a few other companies to undertake similar distribution and technology collaboration and related businesses.

The stock was up by 3.5 sen or 9.5% to close at 40.5 sen last Friday, on some 60.09 million shares done, giving it a market capitalisation of RM75.68 million. Its share price has more than tripled over the past two weeks.