KUALA LUMPUR: Tomei Consolidated Bhd's subsidiary TXG Financial Solutions Sdn Bhd has obtained the Ministry of Local Government Development's (KPKT) approval to start an online money lending business, within its money lending license.

In a filing with Bursa Malaysia Securities, the company said the approval will not have any material effect on the earnings per share and net assets per share of the company for the financial year ending December 31, 2023.

Tomei Consolidated's share price closed 1.7 per cent higher at RM1.17 a share today.

In January this year, Managepay Systems Bhd's wholly-owned unit, ManagePay Resources Sdn Bhd received conditional approval from KPKT to operate as an online money lender under the Moneylenders Act 1951 (Act 400).