Last checked at 15 Oct 2015 07:00
October 15th, 2015
MTI Wireless Edge Ltd
("MTI" or the "Company")
Mottech Secures Recurring Revenue Agreements
MTI Wireless Edge Ltd., a market leader in the manufacture of flat panel antennas for fixed wireless broadband and a wireless irrigation solution provider, announces that its subsidiary, Mottech Water Solutions Ltd. ("Mottech"), has extended its three largest services agreements with key municipalities in Israel. These extensions represent overall revenues of approximately NIS 3.5m per annum securing approximately 35% of Mottech's recurring income. The extensions are for a period of 3 to 5 years, with certain of the extensions requiring a renewal process by the municipalities at their option every 12 months.
MTI acquired Mottech, a wireless irrigation solutions provider, in June 2015. Mottech has immediately made a positive profit contribution and renewing these contracts provides the MTI board with confidence that the acquisition will be earnings enhancing in 2015 and beyond.
MTI has now successfully moved the Mottech business into MTI's Rosh HaAyin headquarters in Israel. The combined management team are now focussing on Mottech's business plan and the expansion of opportunities for Mottech in the irrigation market, as well as applying Mottech's wireless control products to other industry sectors.
MTI also announces that it has recruited a new International Sales director for the Mottech business. Amir Givon previously worked for Mottech and has re-joined the business. He will lead the expansion of Mottech's business into international markets.
Dov Feiner, CEO of MTI commented: "The integration of the Mottech business continues to go smoothly and we expect for Mottech to deliver on our expectations for the current year. We continue to explore where we can extend their products in the irrigation market, and generally how we can move the MTI business further up the value chain to provide services and obtain recurring income streams".
For further information please contact:
MTI Wireless Edge Dov Feiner, CEO Moni Borovitz, Financial Director | http://www.mtiwe.com/ +972 3 900 8900 |
Allenby Capital Limited Nick Naylor Alex Brearley | +44 20 3328 5656
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About MTI Wireless Edge
MTI is engaged in the development, production and marketing of High Quality, Low Cost, Flat Panel Antennas for Commercial & for Military applications. Commercial applications such as: WiMAX, Wireless Networking, RFID readers &, Broadband Wireless Access. With over 40 years experience, supplying antennas 100KHz to 90GHz including directional antennas and Omni directional for outdoor and indoor deployments including Smart Antennas for WiMAX, Wi-Fi, Public Safety, RFID and for Base Stations and Terminals - Utility Market. Military applications includes a wide range of broadband, tactical and specialized communications antennas, antenna systems and DF arrays installed on numerous airborne, ground and naval, including submarine, platforms worldwide.
Via its subsidiary, Mottech Water Solutions Ltd ("Mottech"), MTI is also a leading provider of remote control solutions for water and irrigation applications based on Motorola IRRInet state of the art control, monitoring and communication technologies. Mottech, headquartered in Israel, is the global prime distributor of Motorola for the IRRInet remote control solutions serving its customers worldwide through its subsidiaries and a global network of local distributers and representatives. It utilizes over 25 years of experience in providing its customers with remote control and management systems which ensure constant, reliable and accurate water usage, while reducing operational costs and maintenance costly expenses. Mottech activities are focused in the market segments of agriculture, water distribution, Municipal and Commercial Landscape and Wastewater and Storm water Reuse.