Last checked at 16 Mar 2020 07:00
Strictly Embargoed until: 16th March 2020
Toople PLC
("Toople" or the "Company")
Two New Major Contract Wins and Market Update
Toople PLC (LSE: TOOP), a provider of bespoke telecom services to UK SMEs, is pleased to announce that its recent acquisition, DMS Holding ("DMSL"), has signed major contracts with two new large customers. DMSL provides unified communication services in the UK and has over 15 years' experience of providing broadband connectivity, mobile and fixed voice and cloud services, primarily acting as a BT Premier reseller in the B2B market. Toople acquired DMSL last month.
The two new contract wins for DMSL are with two large blue chip organisations:
· A global humanitarian organisation, and
· A worldwide underwriting business.
Both new customers have signed up for cloud telephony platforms with DMSL. The humanitarian organisation has signed a three year contract for 95 seats (Revenue Generating Units) and the underwriting business has signed a three year contact for 83 seats and a 100/1g ethernet circuit, also on a three year contract. Customer deployment is already complete for both contract wins and first revenues generated. As per DMSL's business model, the contracts are already generating revenues for the Company.
The Board is acutely aware of the potential impact of the COVID-19 virus on its business and has in place a contingency plan to cope with any impact that restrictions on its staff and customers may create. The Company is confident that it can maintain business continuity given that its core offering is a cloud telephony platform which can support all UK, Poland and Durban staff. The platform enables every member of staff to work remotely with full access to Toople platforms and systems on desktop, tablet and mobile. Furthermore this solution is also available to all Toople customers, stakeholders and to potential customers and it can be implemented on a same day basis.
Andy Hollingworth, CEO of Toople, commented:
"The acquisition of DMSL and subsequent integration of the two businesses is progressing very well and ahead of plan. Operationally, both businesses will be run as one from the same office within the next 30 days. Further synergies and cost savings are expected when this process is completed and we will give more details of the financial and operational progress at the time of our AGM to be held on 31 March 2020. We are already seeing the commercial benefits of the acquisition, with two new contract wins already announced.
"The impact of the COVID-19 virus cannot be underestimated by any business, but the Board is confident that our core offering of a cloud telephony platform will ensure business continuity and can act as a solution for other businesses who need speedy solutions to a remote working environment.
"Furthermore in his first Budget last week, new Chancellor of the Exchequer, Rishi Sunak, said that £5bn would go towards rolling out gigabit broadband in the most difficult-to-reach 20 per cent of the country. We welcome this move and consider it to be a boost to Toople, and to consumers and businesses who will gain access to higher speed and larger bandwidth connectivity over the next five years. Toople is well placed to take advantage of these market drivers."
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For further information please visit www.Toople.com or contact:
Toople PLC Andy Hollingworth, Chief Executive Officer / Kevin Lawrence, Chief Financial Officer
| Tel: 0800 0499 499 |
Cairn Financial Advisers LLP Sandy Jamieson/Tony Rawlinson/Ludovico Lazzaretti
| Tel: 020 7213 0880 |
Novum Securities Limited David Coffman
| Tel: 020 7399 9400 |
Turner Pope Investments Limited Andy Thacker / Zoe Alexander
| Tel: 020 3657 0050 |
Belvedere Communications John West / Llew Angus
| Tel: 020 3687 2754 |
Notes to editors:
Toople PLC, a company incorporated in the UK provides a range of telecoms services primarily targeted at the UK SME market. Services offered by the Group include business broadband, fibre, EFM and Ethernet data services, business mobile phones, cloud PBX and SIP Trunking and Traditional Services (calls and lines) all of which are delivered and managed through Merlin, the Group's proprietary software platform.
The Group is differentiated by its focus on creating small business connectivity solutions, with robust and reliable packages that will enhance our customer's companies. In addition, our vision is based on trust and transparency, with no hidden fees within our pricing policy providing customers with a clear understanding of cost.
Toople Plc has a strong and highly experienced Board and management team who are focused on growing the business both organically and by identifying earnings enhancing strategic acquisition opportunities.