REG - CyanConnode Holdings - £70m AMISP Milestone Contract

Cyanconnode HoldingsAnnouncement

14/04/2025 07:00

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RNS Number : 8310E  CyanConnode Holdings PLC  14 April 2025

14 April 2025

 

CyanConnode Holdings plc

("CyanConnode" or the "Company")

 

£70 Million AMISP Milestone Contract

 

CyanConnode Holdings PLC (AIM: CYAN), a global leader in narrowband Radio
Frequency ("RF") smart mesh networks, is pleased to announce that its Indian
subsidiary, DigiSmart Networks Pvt. Ltd. ("DigiSmart"), has been issued a
Letter of Intent ("LOI") for a total contract worth approximately £70 million
from the Government of Goa's Electricity Department to deploy approximately
750,000 smart metres.

 

In May and June 2024, DigiSmart announced it had been empanelled as an
Advanced Metering Infrastructure Service Provider ("AMISP") enabling the
Company to bid for and lead smart metering projects in India, using both RF
and cellular technology. Previously, the Company operated solely as a
communications supplier to the lead bidders for such projects. Today's
announcement marks the Company's first LOI as an AMISP.

 

Following a successful tender process conducted by the Government of Goa's
Electricity Department, the state cabinet has now approved the project,
appointing DigiSmart as the lead consortium member responsible for installing
the meters, communications (RF and cellular), cloud services and meter data
management system and has issued the LOI for this project. The full work order
is anticipated to be issued over the coming weeks with work then expected to
start this quarter following network planning and the agreement of contracts
with sub-contractors.

 

Key Highlights and Benefits of the AMISP contract

·    DigiSmart will project manage and deliver a comprehensive end-to-end
solution.

·    The project is anticipated to begin within the next few months (Q1 of
FY 2026) and will comply fully with all requirements outlined in the Revamped
Distribution Sector Scheme ("RDSS"). The implementation phase will last for 27
months, after which a support and maintenance period of 93 months will follow.

·    Existing expertise, third-party partnerships, and personnel are in
place to implement the project.

·    DigiSmart will directly supply meters, RF and cellular
communications, its core services, and for the first time control the timing
of implementation.

·    Non-core services will be outsourced to trusted and experienced
suppliers.

 

As announced on 19 March 2025, CyanConnode secured a £5 million unsecured
loan from its major shareholder, Axia Investments Limited ("Axia
Investments"). The loan supports DigiSmart's cash reserves for the project and
will also provide additional working capital.

 

Following this milestone contract, CyanConnode's outstanding order book has
grown to approximately £180 million, with revenue expected to be realised
over the next 10 years, although the majority is anticipated to be recognised
within the next two to three years. Given this accelerating momentum and the
expansion of its business scope, the Company is actively engaging with
strategic financing investors to further support and enhance its growth
potential as an AMISP.

 

John Cronin, Executive Chairman of CyanConnode, said:

"Securing our first major AMISP contract represents a pivotal achievement, and
this landmark £70 million Goa smart metering LOI marks a significant
milestone for the Company. The contract validates our strategy, firmly
establishes our credentials as an AMISP, and substantially enhances our
ability to secure further tenders. This success is set to deliver a step
change, accelerating CyanConnode's future revenue growth and profitability."

 

- Ends -

 

Enquiries:

CyanConnode Holdings plc
                                  Tel: +44 (0) 1223 865 750

John Cronin, Executive Chairman
                              www.cyanconnode.com

Strand Hanson Limited (Nominated and Financial Adviser)
 Tel: +44 (0) 20 7409 3494

James Harris, Richard Johnson, David
Asquith
 

 

Zeus Capital Limited (Joint
Broker)                                                         Tel:
+44 (0) 20 3829 5000

Simon Johnson, Louisa Waddell

 

Panmure Liberum (Joint
Broker)
Tel: +44 (0) 20 7886 2500

Rupert Dearden / James Sinclair-Ford

 

Novella (Financial PR)
 
Tel: +44 (0) 20 3151 7008

Tim Robertson / Safia Colebrook

 

About CyanConnode

CyanConnode (AIM:CYAN.L), is a world leader in Narrowband Radio Frequency (RF)
Smart Mesh Networks, which are used for machine to machine (M2M)
communication.  As well as being self-forming and self-healing, CyanConnode's
RF Smart Mesh Networks are designed for rapid deployment, whilst giving
exceptional performance and competitive total cost of ownership.

 

In June 2018, CyanConnode launched its award-winning Omnimesh Advanced
Metering Infrastructure (AMI) platform, which has already gained considerable
commercial traction, especially in India which is a key market for the
Company.

 

Through a Global partner eco-system, which is vendor agnostic, CyanConnode has
several routes to market, therefore it is well positioned to capitalise upon
increasing Global demand for smart metering solutions.

 

For more information, please visit www.cyanconnode.com
(http://www.cyanconnode.com/)

 

The information contained within this announcement is deemed to constitute
inside information for the purposes of Article 7 of EU Regulation 596/2014
(Market Abuse Regulations) which is part of UK law by virtue of the European
Union (Withdrawal) Act 2018. Upon publication of this announcement, this
inside information is now considered to be in the public domain.

 

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