PETALING JAYA: ITMax System Bhd

’s 70%-owned subsidiary Selmax Sdn Bhd has been appointed the operator of the Selangor Intelligent Parking (SIP) system by the Shah Alam City Council (MBSA).

Pursuant to the contract, Selmax will deploy, manage and operate all gazetted parking bays within MBSA’s jurisdiction.

The contract, which has a tenure of 10 years with a five-year optional extension, will adopt a revenue-sharing model with Selmax entitled to 50% of the revenue generated from parking fees and compound collections.

“We are honoured to be appointed once again as the SIP operator in Selangor, marking our second smart parking contract in the state. This appointment reaffirms our role as a trusted technology partner in supporting local councils to modernise urban mobility.

“Through the integration of advanced artificial intelligence closed-circuit television (CCTV), monitoring and Mobile Patrol Licence Plate Recognition technologies, we aim to significantly improve parking compliance, operational efficiency, and public safety,” said ITMAX System managing director and chief executive officer William Tan Wei Lun in a statement.

Meanwhile, Hong Leong Investment Bank (HLIB) Research said ITMAX’s track record in Johor had significantly bolstered its standing.

“Johor’s success has strengthened ITMAX’s credibility as a smart parking operator and laid the groundwork for its bid in Phase 1 of Selangor’s SIP or smart integrated parking,” it said.

The research house noted that Kulai’s initial smart parking deployment had yielded concrete results.

The digital payment platform, Park@Max Johor, contributed to a 200% surge in parking revenue for the Kulai Municipal Council since its launch in August 2024.

“Management highlighted that collection rates in certain areas, previously languishing at just 5% to 10%, have climbed to 30% to 40%,” it said, attributing the jump to the rollout of CCTV cameras and Mobile Patrol Licence Plate Recognition systems with real-time monitoring.

HLIB Research reiterated its “buy” call on ITMAX, with an unchanged target price of RM5.17.

Selangor’s SIP Phase 1 comprises four councils – MBSJ, Petaling Jaya City Council, MBSA and Selayang Municipal Council.

Meanwhile, Johor Baru presents further upside for ITMAX.

The company recently secured its third smart traffic light contract from Johor Baru City Council, worth RM145mil.