REG - T42 IOT Tracking Sol - Significant Long-Term Agreement

t42 IoT Tracking SolutionsAnnouncement

05/02/2024 07:00

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RNS Number : 9430B  T42 IOT Tracking Solutions PLC  05 February 2024

5 February 2024

 

t42 IoT Tracking Solutions Plc.

("t42", the "Company" or the "Group")

 

T42 Secures Significant Long-Term Agreement for up to 30,000 Container
Shipping 'Lokies' Tracking Units

t42 IoT Tracking Solutions plc (AIM: TRAC) ("t42" or the "Company"), a
provider of global shipping container tracking solutions, is pleased to
announce a significant follow-up agreement ("Agreement") with the customer
referenced in our 16(th) January 2023 announcement. Under the Agreement, the
 customer ("Customer"), which provides cutting-edge IoT and AI solutions for
monitoring goods in the supply chain, has agreed to place orders for up to
30,000 'Lokies' units over the next three years, together with associated
Software as a Service (SaaS) fees, which if received and deployed would be
estimated to deliver revenues of over $7.5 million to the Company,  although
there is no guarantee of the total number or timing of ordering of units, nor
revenues to be derived from, the Agreement.

Following the initial agreement (which is being superseded by this Agreement)
in January 2023, under which the Company has successfully delivered 2,000
'Lokies' tracking units along with additional other products and services, the
demonstrated effectiveness of 'Lokies' units in safeguarding goods and
ensuring the integrity of worldwide deliveries has led to this significant new
and expanded agreement with the Customer, with an immediate despatch to
satisfy the first order of 1,000 units. The Agreement represents a strategic
shift for t42, furthering its focus on the global container and supply chain
market and is expected to provide a steady stream of recurring revenue
throughout the period of use.

After a detailed evaluation of development requirements and a thorough
assessment of the Company's capabilities, the Company is pleased to announce
this agreement, which provides for further development and updates of 'Lokies'
and positions the Company to supply the Customer and its end-users with more
efficient, cutting-edge solutions.

'Lokies' stands out as a unique, smart keyless padlock, with innovative IoT
capabilities. It integrates advanced Global Navigation Satellite System (GNSS)
and cellular technology, complemented by the latest Bluetooth Low Energy
connectivity and sophisticated user management abilities. 'Lokies' enables
customers to identify and manage various users based on their access
authorisations. This feature significantly enhances cargo visibility and
security, making it a key tool in modern logistics and supply chain
management.

The Customer, a leading provider in the realm of end-to-end goods management
services, utilises advanced AI models to deliver comprehensive shipment data
and business intelligence services. This sophisticated approach enables the
effective management of supply chains, offering unparalleled insights and
operational efficiencies. Their expertise in integrating cutting-edge
technology into logistics processes underscores the strategic importance of
their partnership with the Company.

CLN extension update

As previously announced the Company is negotiating with the holders of the
2021 unsecured convertible loan notes ("CLN") with a view to extending the
maturity date and other amendments. There are several different investors in
the CLN and, while the Company believes that all are supportive of the
extension, it is taking longer than originally anticipated to complete the
necessary legal arrangements. A further update will be provided when an
agreement is entered into.

Avi Hartmann, CEO of t42, commented: "t42 is witnessing the tangible impact of
its long-term efforts to integrate cutting-edge solutions within the supply
chain industry. There is a notable global surge in interest for 'Lokies' and
the associated comprehensive t42 solution, which is expected to be positively
reflected in the Company's financial results in 2024 and beyond."

Contacts:

 

t42 IoT Tracking Solutions PLC

Michael Rosenberg, Chairman
 
                                  07785 727595

Avi Hartmann, CEO
                                                                                                 +972
5447 35663

 

Strand Hanson Limited (Nominated Adviser and Financial Adviser)
                020 7409 3494

James Harris/ Richard Johnson/ Robert Collins

 

Peterhouse Capital Limited
 
  020 7469 0930

Lucy Williams/ Charles Goodfellow/ Eran Zucker

 

 

t42 IoT Tracking Solutions plc (AIM: TRAC), formerly Starcom Systems plc,
provides real-time tracking, analysis, monitoring, and security IoT solutions
for the global container and freight market and covers 55 countries, over 100
distributors, and 50 logistics and support partners.

 

t42's multi-sensor IoT tracking devices use a wide range of detection
capabilities with cloud-based analytics and alerts, with real-time data
transmission, analysis, and actionable insights. Its devices are used by
ports, cargo owners, shipping companies, freight forwarders, insurance
companies, customs authorities, homeland security, and police for end-to-end
global container tracking and digital transformation of shipments.

 

For more information on the Company, please visit: (https://www.t42.co.uk/)
https://www.t42.co.uk/ (https://www.t42.co.uk/) (https://www.t42.co.uk/)
 

The information contained within this announcement is deemed by the Company to
constitute inside information pursuant to Article 7 of EU Regulation 596/2014
as it forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 as amended.

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