T42 Iot Track. Regulatory News (TRAC)

16 April 2024

t42 IoT Tracking Solutions Plc.

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

t42 enters significant agreement in Mexico evaluated at over $1m and further SaaS revenues

t42 IoT Tracking Solutions Plc (AIM: TRAC) ("t42" or the "Company"), a global innovator in real-time tracking, analysis, monitoring, and security IoT solutions, is delighted to announce a significant new agreement for the provision of advanced tracking solutions to a leading petrol and diesel transportation organisation in Mexico. 

The agreement, with t42's distributor in Mexico, is expected to be valued at over $1m in hardware sales, and is expected to generate additional significant SaaS revenues, subject to full deployment, installation and operation of the hardware units. The agreement sets out a phased deployment of t42's advanced tracking devices across a substantial segment of the end-user client's Mexican transportation fleet. A first order has been received for approximately $80k and, following installation of these initial units, the next hardware order is expected to be for a value of approximately $0.5m.

The client is Mexico's leading petrol and diesel transportation cooperative organisation, responsible for over 60% of all petrol and diesel transportation and storage in Mexico. Mexico has the second highest number of traffic fatalities in Latin America which is estimated to have negatively impact annual GDP by 1.7% (over $17bn losses) in 2022. The client had previously sought to have tracking solutions installed however, due to complexities with the installation process and an inability to upgrade, this was not a viable solution at that time. T42, along with its local partner in Mexico, submitted an NRE (non-recurring engineering) proposal for a new product based on a single solution combining both speed limiters and vehicles fleet management. Following several months of development, t42 produced a completely new product, and has completed a 12 month trial implementation of the t42 solution. The client has reported a significant outcome: zero accidents and a 100% success rate in preventing incidents that would have previously led to significant losses and insurance claims.

Avi Hartmann, CEO of t42, commented: "This is yet further proof that t42 is at the frontline of technological advancements in the tracking solutions space. Our ability to innovate and develop around the client's requirements has allowed us to secure this new order and is expected to bring in future additional orders where solutions are evaluated by quality rather than price alone."

Contacts:

t42 IoT Tracking Solutions PLC  Michael Rosenberg, Chairman 07785 727595

Avi Hartmann, CEO +972 5477 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/    

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.