Freight Management secures incentives for Shah Alam e-commerce fulfilment hub
Freight Management Holdings Bhd‘s wholly owned subsidiary FM Global Logistics (M) Sdn Bhd has received approval for a special incentive package from the Malaysian Investment Development Authority(MIDA) for the development of an E-Commerce Fulfilment Hub in Shah Alam, Selangor.
The group said in a Bursa Malaysia filing that it received the approval from the agency on behalf of the government, via a letter dated Dec 28, 017.
This special incentive package will enable FM Global Logistics to qualify for income tax exemption via Investment Tax Allowance (ITA) of 60% of qualifying capital expenditure within a five year period, which can be utilised to deduct up to 70% of the statutory income for each year of assessment.
“The company will proceed to finalise the plans for the development of the E-Commerce Fulfilment Hub in accordance with the conditions as per the abovementioned letter of approval and the special incentive package is expected to contribute positively to the future earnings of the group,” the group said in a Bursa Malaysia filing.
Freight Management’s shares dipped one sen to RM1.27 with 10,000 shares changing hands.