JPJ’s suspension of MyEG and Zetrix AI as collection agents from 5 Oct 2026 could provide an opportunity for alternative platforms, including Rider Gate, to handle part of the affected transaction volume.
Rider Gate partially overlaps with MYEG in vehicle ownership transfers, motor vehicle licence renewals and summons payments, with ownership transfers potentially benefiting from its existing used-motorcycle platform.
The extent of any transaction volume migration remains uncertain, as JPJ’s own platforms and other authorised collection agents remain available.
We maintain BUY with a TP of RM 1.37, based on an unchanged PE multiple of 15.42x applied to a FY27F core EPS of 8.9sen.
The suspension. JPJ will suspend MyEG Sdn Bhd and Zetrix AI Bhd (NR), both under the MYEG Group, as collection agents from 12.01am on 5 Oct 2026. JPJ said the decision followed its assessment of compliance with the terms and conditions of the relevant agreements, as well as outstanding obligations that remained unfulfilled or unresolved. Accordingly, all JPJ services previously offered through MYEG Group channels will be suspended from the same date. JPJ has assured that services will continue through its official and alternative channels. As such, displaced MYEG transaction volumes will not automatically migrate to a single alternative provider, with MyJPJ, MySikap and other authorised channels remaining available.
Rider Gate is not a direct replacement for MYEG, but there is meaningful overlap. Rider Gate, a wholly owned subsidiary of RAMSSOL, was appointed by JPJ in December 2025 as a Collection Agent for vehicle ownership transfer registration, motor vehicle licence renewal and electronic payment of summonses for two years from the commencement date of JPJ services on its platform. The contract value is dependent on transaction volumes. By comparison, MYEG offers a broader range of JPJ-related services, including road-tax renewal, driving licence renewal, summons payment and vehicle ownership transfer, alongside other services.
We therefore see potential for Rider Gate to handle part of the transaction volume in the three overlapping services, rather than replace MYEG's broader JPJ offering. Of these, we see vehicle ownership transfers as the most relevant opportunity, given Rider Gate's existing focus on the used-motorcycle ecosystem. Rider Gate could potentially expand its role in the motorcycle transaction process by facilitating JPJ ownership transfers and licence renewals alongside its existing platform services.
Opportunity to capture part of MYEG's displaced volume. The suspension of MYEG could potentially accelerate Rider Gate's JPJ transaction ramp-up, particularly if users seek alternative digital channels for the overlapping services. However, the extent of migration remains uncertain as users can continue to rely on JPJ's own platforms and other authorised collection agents. We therefore do not assume a one-for-one transfer of MYEG's historical transaction volume to Rider Gate. Instead, we view this as a potential incremental transaction opportunity, with transaction volumes, active users and average monetisation per transaction being the key indicators to monitor.
Outlook. We expect RAMSSOL's earnings to remain supported by its existing software and technology businesses, while Rider Gate provides an additional growth option. The JPJ development could become a meaningful catalyst if Rider Gate successfully captures part of the displaced transaction volume. The key near-term milestones are the commencement of Rider Gate's JPJ services, transaction ramp-up and monetisation. We also note that RAMSSOL retains 100% ownership of Rider Gate, following the termination of its proposed 40% disposal to SAGTEC in August 2025 after SAGTEC failed to obtain its board approval.
Earnings Revision. We make no changes to our FY26F/FY27F/FY28F core net profit forecasts of RM31.5m/RM42.2m/RM47.3m at this stage. While the MYEG suspension potentially creates an attractive opportunity for Rider Gate, the absence of disclosed transaction volumes and revenue contribution means that any earnings uplift would currently be speculative. We will revisit our forecasts once there is sufficient evidence of JPJ service commencement, transaction traction and monetisation.
Valuation & Recommendation. We maintain BUY with a target price of RM1.37, based on an unchanged 15.4x FY27F core P/E multiple applied to FY27F core EPS of 8.9sen. We see the JPJ development as a potential earnings catalyst rather than an immediate earnings upgrade, with transaction volumes and monetisation being key indicators to assess the potential earnings contribution from the JPJ services.
Risks. Slow adoption of Rider Gate's JPJ services, competition from JPJ's official channels and other authorised collection agents, operational delay or breach of contractual obligations under the MOA.
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.067863 | 4.100415 |
| EUR | 4.592538 | 4.597144 |
| CNY | 0.608561 | 0.609199 |
| HKD | 0.518634 | 0.522278 |
| SGD | 3.181236 | 3.203650 |