KUALA LUMPUR: Hong Leong Investment Bank (HLIB) research sees great potential in a collaboration between ITMAX System Bhd and Johor Corporation Bhd's unit Jland Group Sdn Bhd, given Jland's vast project portfolio.
Jland's real estate development business comprises of 34 industrial parks with more than 6.8 hectare (ha) of land and six townships with more than 3.8ha of total land bank.
ITMAX's unit Southmax Sdn Bhd (SSB) signed a Memorandum of Understanding (MoU) with Jland yesterday to explore opportunities in smart township, park management and facilities management with Jland.
The collaboration involves evaluating public space networked systems, integrating facilities management in townships and parks, advancing AI/IoT-driven solutions for building management, and exploring additional strategic business opportunities jointly agreed upon.
HLIB Research said the expansion is a recognition of ITMAX's capability and experience in the integrated digital infrastructure.
The jewel in Jland's portfolio is the almost 3ha Ibrahim Technopolis (iBTEC) in Sedenak, which it aims to make a global benchmark for smart and sustainable townships, with a 25-year development plan targeting sectors such as data centres, advanced technology, medical, logistics, knowledge-driven, and sustainability initiatives.
According to HLIB research, the Sedenak Tech Park (STeP) is a part of iBTEC, which serves as a hub for regional data centre growth, offering 22 land plots supported by sustainable energy sources, high-speed fibre optics access, and water supply.
"STeP has attracted global data centre players such as Yondr, Keppel DC, Bridge DC, and Princeton Digital Group," added.
HLIB research has reiterated its 'Buy' call on ITMAX, with an unchanged target price of RM2.90.
"We believe that this home-grown smart city integrated system and solution provider is a compelling case given its multi-year growth potential on the back of solid order and tender books," the firm said.
ITMAX's share price was up 0.45 per cent to RM2.21 a share, giving it a market capitalisation RM2.27 billion.
