Cape EMS financially independent from Perak Transit

PETALING JAYA: Cape EMS Bhd has reaffirmed its full commitment to its Smart Infrastructure and Renewable Energy Project in Perak, clarifying that recent volatility in the share price of its partner Perak Transit Bhd has no bearing on its own financial position or project execution capabilities.

In a statement, the electronic manufacturing services (EMS) and engineering solutions provider said its cooperation with Perak Transit is confined to a jointly announced initiative to develop smart bus stop systems and an electric vehicle (EV) hub in Ipoh, both designed to support Malaysia’s clean energy transition.

“Our collaboration with Perak Transit is a project-based partnership centred on smart infrastructure and renewable energy integration in Perak. It is not an investment or equity arrangement,” said Cape EMS group chief executive Christina Tee Kim Chin.

“The recent share price volatility in Perak Transit does not influence Cape EMS’s operations, finances, or obligations.”

In addition, the company stressed that it has no direct or indirect shareholding in Perak Transit, nor has it engaged in any share dealings with the transport terminal operator.

Furthermore, Cape EMS emphasised that its role in the partnership focuses on “engineering, design, assembly, installation, testing and commissioning” under its scope of work, and that it remains financially and operationally independent.

Supported by a solid balance sheet and sustainable cash flow, Cape EMS said it remains well positioned to deliver on its project commitments.

The collaboration represents part of the group’s strategic pivot toward renewable energy, smart infrastructure, and battery energy storage systems, which are expected to become new growth pillars.

“This project aligns with Cape EMS’s broader ambition to expand into renewable energy, smart infrastructure, and energy storage systems as part of the group’s diversification strategy,” Tee added.

Perak Transit saw sharp movement in its share price on Wednesday, which plunged 47.2% or 30 sen to close at 33.5 sen, its lowest level in more than three years, before issuing a separate filing with Bursa Malaysia, stating it was “not aware of any possible explanation” for the fall.

The counter was the second most actively traded on the local bourse, with over 232 million shares changing hands.

Perak Transit said its business operations “remain operational as usual” and that the share price movement was “not reflective of any change in the company’s operational status or business fundamentals.”

The company operates integrated public transportation terminals and public bus services, and earlier this month signed a memorandum of agreement with Cape EMS to modernise public transport nodes and expand clean energy adoption in Perak, including the planned EV hub in Ipoh.