G3 Global Berhad Archives

G3 Global Awarded RM118 Million Contract to Drive Digital Transformation of KLIA and klia2

Artificial Intelligence (AI) specialist G3 Global Berhad has secured the Group’s largest contract since restructuring the business with an RM118.38 million agreement to design and develop the Airport Integrated Security and Safety System (AIS3) for Malaysia’s two busiest airports – Kuala Lumpur International Airport (KLIA) and klia2 – in collaboration with SenseTime, a leading AI software company listed on the Main Board of the Stock Exchange of Hong Kong Limited (HKEX).

Mr. Dirk Quinten, Managing Director of G3 Global Berhad

Mr. Martin Huang, Managing Director of SenseTime International

The contract, which was awarded by Malaysia Airports (Sepang) Sdn Bhd (MA Sepang) on 15 April 2022, is the first master system architect project among the world’s Top 10 airports. MA Sepang is a wholly-owned subsidiary of Malaysia Airports Holdings Berhad and provides maintenance and airport facilities administration services.

G3 Global will leverage its AI capabilities and the deep industry knowledge of SenseTime to develop a state-of-the-art integrated platform that includes enhancing existing systems to improve the overall safety and security management capabilities.

Mr. Dirk Quinten, Managing Director of G3 Global Berhad said, “In pre-pandemic 2019, both KLIA and klia2 served 62.3 million passengers, of which almost 72% or 44.6 million were international arrivals. Post-reopening of international borders, the airports’ traffic is bound to recover and hence, there is a great need for a technologically-advanced smart security management system for both airports. This is where our AIS3 system will come in with its AI capabilities.

Our system is efficient, highly-integrated and has advanced data analytics capabilities. This will help to achieve faster and improved decision making in strengthening the airports’ safety management. The AIS3 will be key in transforming KLIA and klia2 into high-tech airports in the world, enabling them to be better equipped to handle more passengers in the future.

Meanwhile, with the partnership between G3 Global and SenseTime in this project, the Group can leverage on the experience and track record gained for upcoming proprietary analytic-based projects. G3 Global will also be able to diversify into Augmented Reality and retail solutions, integrated with our airport Big Data initiative.”

As G3 Global’s principal AI partner, SenseTime’s industry-leading AI platforms will complement the Group’s capabilities to provide a comprehensive suite of products for an end-to-end experience.

Mr. Martin Huang, Managing Director of SenseTime International said, “As a leading AI software company focused on creating a better AI-empowered future through innovation, SenseTime is committed to leveraging AI technologies for a positive Whole-of-Society impact, benefitting businesses and people alike. Together with our partner G3, we saw an opportunity to revitalise airport operations as we learn to live in the new normal. As demand for air travel grows, our leading AI-enabled capabilities will support airports to perform these key operations sustainably and provide a safer travel journey overall.”

The AIS3 project is expected to be completed by March 2024. G3 Global’s partnership with SenseTime began in April 2019 after both parties signed a Collaboration Agreement to jointly explore various projects relating to the application of interface technologies and platforms.

Upon the successful completion of the AIS3 project, G3 Global will look at scaling a similar AI-based security management model to other airports in Malaysia and across the region. This would further strengthen the Group’s position as the largest listed AI player in Malaysia.

G3 Global: https://g3global.com.my/
G3 Global: 7184 / [BURSA: G3G] [RIC: GLOA:KL] [BBG: G3G:MK]

SenseTime: https://www.sensetime.com/en
SenseTime: [HKSE: 20]

G3 Global Berhad and China Partners Remain Committed to Furthering Malaysia’s Digital Economy Blueprint

The parties reiterate their commitment to jointly explore and collaborate on large-scale AI & IT projects in Malaysia

G3 Global Berhad (G3 or the Company), a developer of artificial intelligence (AI) and other information technology (IT) – based solutions for various industries, remains committed to the vision of the Memorandum of Understanding (MoU) with SenseTime Group Ltd (SenseTime) and China Harbour Engineering Company Ltd (CHEC) for the development of an AI Park.

The MoU, which was signed on 26 April 2019, expires today.

Managing Director of G3, Mr. Dirk Quinten, said, “G3 will continue to focus on its AI and other IT-based solutions to grow the business. The parties to the MoU noted that the landscape for the development of the originally anticipated AI Park has changed and that the project may have to take on a new form.”

“G3 as well as SenseTime and CHEC remain keen to work together on large-scale AI & IT projects that are sustainable over the longer term. We have been exploring and discussing concepts that leverage on each other’s strengths and expertise, whilst considering Malaysia’s AI roadmap and strategic position at the same time.”

The Company will make the necessary announcements to Bursa Malaysia Securities Berhad as and when there are further developments on these discussions.

G3 Global: https://g3global.com.my/
G3 Global: 7184 / [BURSA: G3G] [RIC: GLOA:KL] [BBG: G3G:MK]

G3 Global Gets Shareholders’ Nod for Healthcare Venture and Three Other Resolutions

Artificial Intelligence specialist G3 Global Berhad (G3) has cemented its entry into the higher-margin Healthcare business – beginning with the sale of COVID-19 test kits – after it received approval from its shareholders today. Via a virtual Extraordinary General Meeting (EGM), the shareholders also approved a cash call to grow the Healthcare and ICT divisions; a higher limit to issue new shares; and the engagement in related party transactions (RPT).

Four resolutions were tabled at the EGM, all of which received approval by the voting shareholders. The first resolution was on the proposed diversification into healthcare-related business, whereas the second resolution was on a proposed private placement of up to 432,849,300 new ordinary shares or 20% of G3’s total issued shares. The new shares will be issued to independent third-party investors to be identified at a later stage, and the funds raised will be used to expand G3’s Healthcare and ICT businesses.

In addition, the third resolution was to increase the limit for authority to allot and issue shares from 10% to 20%, while the fourth resolution proposed a new shareholders’ mandate for recurrent RPTs.

Mr. Dirk Quinten, Managing Director G3 Global Berhad said: “The strong approval we received from the shareholders today is indicative of their confidence in the management and the strategic business directions of the Group. Moving forward, G3 will expand its footprint in the Healthcare segment by leveraging on the technology from our partners, i.e. SenseTime and Bestinet Group, as we strive to be more than just a test kits supplier. We are also looking at providing tech-driven healthcare support services to local public and private hospitals and this would offer a good recurring income stream for the Group.

With regards to the private placement exercise, we already have a few parties expressing their interest in G3 as a forefront Artificial Intelligence company supporting the healthcare sector. The prospective investors believe in the value proposition that G3 could bring, especially after the acquisition of Bestinet Healthcare Sdn Bhd last year.”

G3 acquired a 51% equity stake in Bestinet Healthcare on 8 September 2021. The principal activities of Bestinet Healthcare are mainly related to pharmaceuticals and medicines & health products. The shareholding in Bestinet Healthcare will help to boost G3’s revenue and allow exploring additional business opportunities in the future. The Group will also leverage on its in-house Artificial Intelligence capabilities to innovate new products and services for the healthcare business.

G3 Global: https://g3global.com.my/
G3 Global: 7184 / [BURSA: G3G] [RIC: GLOA:KL] [BBG: G3G:MK]

G3 Global records highest revenue in Year 2021 on higher COVID-19 test kit distribution solutions

Turnaround expected by Q3, 2022 as the Group is positive on the outlook of ICT & Healthcare divisions

Artificial Intelligence specialist G3 Global Berhad (G3 Global or Group) completed its financial year ended 31 December 2021 (FY2021) on a positive note as the Group’s quarterly revenue surged to the highest level in over 4 years. The stellar performance of its new Healthcare division, where revenue increased by more than 700% quarter-on-quarter (q-o-q) due to stronger sales of COVID-19 antigen kits, propelled G3 Global closer to its turnaround target.

G3 Global, which also supplies Internet-of-Things (IoT) connected objects and deliver cloud-based data solutions, recorded a revenue of RM18.79 million in the fourth quarter of FY2021, representing a strong growth of more than eight-fold year-on-year (“y-o-y”). The Group had posted a revenue of RM2.29 million in the previous year corresponding quarter.

In terms of bottom-line performance, G3 Global registered a loss before tax of RM7.27 million in the fourth quarter of FY2021 as compared to a loss before tax of RM6.97 million a year earlier. The higher amount was due to the ongoing kitchen-sinking exercise undertaken by G3 Global for its Information, Communications and Technology (“ICT”) division, especially with regards to items related to past collaborations with Green Packet Berhad. This involved an impairment of RM2.9 million made on the amount owed by Green Packet Berhad for ICT products purchased from G3 Global as well as a write-off of inventories worth RM2.2 million relating to telematics and Internet of Things. Excluding the impairment and write-off, G3 Global would have reported a loss before tax of only RM2.2 million in the fourth quarter of FY2021.

As for the 12-month period ended 31 December 2021, G3 Global recorded a 57% jump in revenue to RM23.6 million compared to RM15.03 million previously, mainly driven by the Healthcare division. Meanwhile, the Group’s loss before tax has been successfully reduced to RM9.22 million in FY2021, down by 31% y-o-y from RM13.39 million.

It is noteworthy that the ICT division’s loss from operations in FY2021 declined by 13% y-o-y to RM11.69 million, following the cost-rationalisation exercise undertaken by G3 Global and its subsidiaries. On the other hand, the Healthcare division contributed a profit of RM2.48 million for the financial year ended 2021.

Mr. Dirk Quinten, Managing Director G3 Global Berhad said “G3 Global’s financial turnaround has picked up steam, especially after the diversification into the healthcare sector through the acquisition of a 51% stake in Bestinet Healthcare Sdn Bhd. The outlook for Bestinet Healthcare remains promising, with orders for 2 million test kits in hand. If the current momentum continues, the Group is on track to return to profitability by Q3, 2022. Given our involvement in COVID-19 antigen kit distribution solutions, G3 Global is a beneficiary of the robust demand for such self-testing kits amidst the spike in coronavirus cases in Malaysia.

In addition, with the expected recovery in the Malaysian economy this year, we are also positive that our ICT division will benefit from greater flow of projects. We are already receiving increased queries from existing and prospective clients, and this should translate into an improved performance for the ICT division.

Notwithstanding the impact from the current pandemic, the Group will continue to focus on (1) expanding the involvement in the healthcare sector and pursue key ICT projects, (2) increasing business development efforts to boost revenue and (3) corporate exercise to raise funds.

Moving forward, G3 Global will be spearheaded by a fresh board of directors, especially with new major shareholder Datuk Seri Aminul Islam Abdul Nor (better known as Datuk Seri Mohd Amin) on board.

In November 2021, Datuk Seri Mohd Amin had emerged as a major shareholder of G3 Global with a 25% stake, and was subsequently made an executive director of the Group. He is the founder and chairman of technology firm Bestinet Sdn Bhd, which provides information technology solutions for managing foreign labour for all stakeholders.

On 4 January 2022, former secretary-general of the Ministry of Education Dato’ Sri Alias bin Ahmad was appointed as Independent Non-Executive Director and Chairman. He succeeded Datuk Wan Khalik Bin Wan Muhammad, who served as G3 Global’s Executive Chairman previously.

It is important to note that Green Packet Bhd and Mr. Puan Chan Cheong are no longer related to G3 Global, as both parties have ceased to be substantial shareholders of the Group. G3 Global will be driven by a fresh mandate, with improved aspirations for further growth.

G3 Global is shifting its focus to artificial intelligence and other information technology-based healthcare solutions. Beyond the sales of COVID-19 test kits, the Group’s healthcare business will also explore the vast potential of artificial intelligence in healthcare, especially in the area of healthcare diagnosis.

G3 Global appoints former MOE sec-gen as its new chairman

G3 Global Berhad (G3 Global) has appointed Malaysian civil service veteran Dato’ Sri Alias bin Ahmad as Independent Non-Executive Director and Chairman with effect from January 4.

A filing with Bursa Malaysia showed that he succeeds Datuk Wan Khalik Bin Wan Muhammad as Director of the Company and Executive Chairman of the Board, who has resigned today.

Dato’ Sri Alias, who served as the secretary-general of the Ministry of Education (MOE) before retiring on 22 May 2018, looks forward to working closely with fellow board members and the management of G3 Global. He seeks to provide the experience and insights that he has gathered after serving the Malaysian government in various capacities and departments.

Aged 63, Dato’ Sri Alias holds a bachelor’s degree in the study of Arts and Social Sciences and a master’s in Strategic and Defence Studies from University Malaya. Besides that, he holds various diplomas and certificates from other institutions including the University of Oxford, United Kingdom.

He served 34 years in the Malaysian civil service and has held many posts of importance in the government.

Some of the notable positions held include Director General of the Department of Immigration (2010-2014), Secretary General of Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) (2014-2016), Secretary of National Security Council (NSC) (2016), and Secretary General of MOE (2016-2018).

Other departments that he has served include the Prime Minister’s Office, Ministry of Home Affairs (MOHA), and the State Security Department.

Commenting on the appointment of the new Chairman, G3 Global managing director Dirk Quinten said: “With the extensive experience and credibility possessed by Dato’ Sri Alias, I am confident that G3 Global will continue to flourish as a dynamic and competitive player in the industries it is involved in, such as artificial intelligence (AI) and healthcare.”

Interesting developments have taken place at G3 Global recently; it started when the Company made a filing on 26 November 2021 which showed that Datuk Seri Aminul Islam Abdul Nor (better known as Datuk Seri Mohd Amin) had emerged with a 25% stake in G3 Global, and has been made an executive director of the Company.

Mohd Amin is the founder and chairman of technology firm Bestinet Sdn Bhd, which provides information technology solutions for managing foreign labour for all stakeholders.

Following that, G3 Global had on 8 December 2021 proposed to diversify into the healthcare sector related business, which includes the distribution of Covid-19 test kits. This is done via Bestinet Healthcare Sdn Bhd, a 51% owned subsidiary of G3 Global, and with orders for 2 million test kits in hand, G3’s subsidiary had a promising start. An EGM will be conducted for the shareholders’ approval early 2022.

The Company is moving to shift its focus to AI and other information technology-based healthcare solutions. Beyond the sales of test kits, G3 Global’s healthcare business will also explore the vast potential of AI in healthcare, especially in the area of healthcare diagnosis.

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