Last checked at 2 Sep 2009 15:45
2 September 2009
CINPART PLC
('Cinpart' or the 'Company')
Acceptance of Tender
Cinpart (AIM:CINP), the electrical products manufacturer and supplier, is pleased to announce that its subsidiary Active Energy Limited ('Active Energy') has submitted a tender to supply its Voltage Reduction and/or Optimisation Technology under a Framework Agreement to members of the Eastern Shires Purchasing Organisation ('ESPO'). Active Energy has now received formal notification that its tender has been accepted.
The period of contract is from 1 September 2009 until 31 August 2011, with the possibility of renewal for a further two years.
As a Framework Agreement, ESPO or its members have no contractual commitment to purchase; however the estimated value of this contract, as advised to Active Energy by ESPO is £15 million.
ESPO is a local authority purchasing consortium operating throughout the Midlands and East of England and is a member of the Pro5 group of professional buying organisations which includes the Central Buying Consortium, West Mercia Supplies, the North East Purchasing Organisation and the Yorkshire Purchasing Organisation. Together these local authority buying consortia represent a substantial number of local authorities and have a combined purchasing power in excess of £2 billion per annum.
For key areas, including this contract, buyers in all five local authority professional buying organisations work together for the purposes of procurement. The Framework Agreement will also be open to the entire public sector and other public bodies, such as the Police, Fire and Rescue Service and registered charities within the UK and to those central government departments and their agencies that wish to use it. ESPO believes that demand for the technology will be high, particularly when recognising the need for public bodies to comply with national targets for reduction in carbon emissions.
This contract reinforces Active Energy's reputation and potential, and also represents a significant step in establishing it as a provider to the public sector. Active Energy's sales leads with other local authorities, central government and blue chip companies for the further supply and installation of the VoltageMaster remain strong.
Kevin Baker, Cinpart's chief executive officer, commented:
"I am delighted that Active Energy has secured its first tender with a local authority purchasing organisation. We are confident that the accepted tender from the Eastern Shires Purchasing Organisation for this Framework Agreement is the first of many anticipated signings with local authorities, as they seek to comply with the Carbon Reduction Commitment. In addition, we are actively engaged in discussions with large retailers and users of sizeable commercial and industrial premises and are fast establishing ourselves as an energy efficient, carbon emission-reducing and cost savings solutions provider."
-ENDS-
Enquiries:
| Cinpart Plc | |
| Kevin Baker, Chief Executive Christopher Foster, Executive Director | Tel: 020 3176 3033 Tel: 020 3176 3031 |
| John East & Partners Limited, a subsidiary of Merchant Securities Plc (Nominated Adviser) | Tel: 020 7628 2200 |
| John East/Simon Clements | |
| Rivington Street Corporate Finance Limited (Joint Broker) | Tel: 020 7562 3389 |
| Monisha Varadan | |
| Mirabaud Securities LLP (Joint Broker) | Tel: 020 7878 3360 |
| Rory Scott | |
| Hansard Group (Public Relations) | Tel: 020 7245 1100 |
| Vikki Krause / Kirsty Corcoran |
About Cinpart:
Cinpart plc (AIM:CINP) is a designer, manufacturer and supplier of electrical components. The Group owns a manufacturing facility in Thailand and operates through its wholly owned subsidiaries Gasignition Limited; a supplier of electrical components to small and medium-sized European gas appliance manufacturers, Derlite Co Limited; an international manufacturer of electrical and non-electrical components, and Active Energy Limited, the 72.23 percent owned manufacturer and supplier of the VoltageMaster, a device that can reduce electricity consumption in commercial buildings by up to 20 percent.
About Active Energy:
Active Energy owns the rights, intangible assets and intellectual property of VoltageMaster, a range of voltage optimisation equipment for commercial buildings that reduces voltage, and consequently energy consumed, by up to 20 percent. The VoltageMaster, a sophisticated, easy to install device that is adaptable to complement existing infrastructures, optimises the voltage used in a building by adjusting the electricity voltage supplied to the whole building. In addition, the reduced energy consumption produced by the VoltageMaster provides reduced carbon emissions.