KUALA LUMPUR: Infoline Tec Group Bhd
has proposed to diversify its business into mechanical and electrical (M&E) engineering services, as it seeks to broaden its revenue base and complement its existing information technology (IT) infrastructure business.
In a filing with Bursa Malaysia, the IT infrastructure and cybersecurity service provider said the proposed diversification would enable the group to undertake electrical, extra-low voltage and M&E infrastructure works, including the supply, installation, testing and commissioning of electrical systems.
“The proposed diversification is sought as the group expects the M&E business to contribute 25% or more of the group’s net profit and/or result in a diversion of 25% or more of the group’s net assets in the future,” Infoline Tec said.
It added that the proposal would enable the group to diversify its revenue stream, thereby reducing its reliance on its existing businesses.
Infoline Tec said the move builds on its experience in overseeing M&E works subcontracted for its IT infrastructure projects.
Its wholly-owned subsidiary, Infoline IT Solutions Sdn Bhd, holds a Grade 7 registration with the Construction Industry Development Board, allowing it to tender for projects of unlimited value, as well as a Class A electrical contractor licence issued by the Energy Commission.
It noted that Infoline IT Solutions secured a RM9.65mil contract on Jan 5, 2026 from Niaga Sari Sdn Bhd to undertake electrical works for a 30-storey serviced apartment development in Terengganu.
The board said the diversification is likely to contribute positively to the group’s future earnings, although it is not expected to have a material impact on earnings for the financial year ending March 31, 2027.
