KUALA LUMPUR, ITMAX System Bhd’s shares traded higher this morning after its 65 per cent-owned unit, Southmax Sdn Bhd, secured a RM51 million contract from the Batu Pahat Municipal Council.
As of 11 am, the counter rose 5.0 sen to RM4.48, with 603,900 shares changing hands. Hong Leong Investment Bank Bhd (HLIB) said in a note that this marks ITMAX’s sixth CCTV contract win in Johor, involving the installation of about 200 cameras.
“Looking ahead, ITMAX is well-positioned to secure more council projects, especially with Johor moving towards a single system policy. We maintain our ‘buy’ call with a target price of RM5.71,” HLIB said.
So far, ITMAX has secured CCTV contracts with six councils in Johor — Johor Bahru, Iskandar Puteri, Pasir Gudang, Pengerang, Kulai, and Batu Pahat. The group is also eyeing additional projects in towns such as Kluang and Muar.
HLIB added that demand is also growing within existing council areas. For example, Johor Bahru started with 500 units but has since requested an expansion to support smart city infrastructure in the special economic zone. The city’s own study estimates a need for around 34,000 CCTV units.
