OTC: ILUS, ILUS International Completes Acquisition of The Vehicle Converters LLC
February 04 2021 - 1:20PM
InvestorsHub NewsWire
OTC: ILUS, ILUS International Completes Acquisition of The
Vehicle Converters LLC (TVC), Increasing ILUS Group Manufacturing
Capability in Preparation for the ILUS EV & FireBug Technology
Roll Out
Dubai, UAE -- February 04, 2021 -- InvestorsHub NewsWire
-- ILUS International (OTC:
ILUS): The Vehicle Converters LLC, known as TVC, is
a Dubai-based $3mil dollar annual revenue business (Pre Covid)
operating as a specialist manufacturer and converter of service
vehicles, primarily Medical, Military, Police, Fire & Rescue
response vehicles, usually small rapid response type vehicles. TVC
has converted more than 8,000 of the most advanced vehicles for
some of the biggest brands in the world and is listed on almost
every major Preferred Supplier List in the Middle East and North
African Market. Many of the leading governments globally have been
researching the possibility of having joint first responders in a
single vehicle, meaning 1 small vehicle arrives with multi trained
multi-skilled responders instead of sending a Fire Truck, Ambulance
and Police vehicle to a small incident, wasting taxpayers money.
The TVC medical & police vehicle experience combined with
Firebug’s patented fire technology would make a world-leading
solution that would be very difficult for any competitor to compete
with.
The management team at TVC is highly experienced and operates a
good corporate governance system that fits strongly with the ILUS
model. ILUS management believes that the strategic value of the
acquisition will provide a return on this investment in a very
short time. The FireBug & TVC factories will merge into one
single facility during the second quarter of 2021, allowing
consolidation, scale, substantial cost savings and skill
enhancement. The acquisition was paid for in cash and restricted
shares.
The revenue consolidation into the ILUS group is a building
block and the strategic value is placed on the manufacturing
capacity, skill sets and established routes to market. While
FireBug already supplies to many top brands in the Middle East, the
Acquisition of TVC will speed up the access to a huge customer base
of almost every top brand in the Oil & Gas, Military, Civil
Defense & Medical Sector in the Middle East and North Africa
Market. TVC’s experience in the specialist vehicle
market will allow the FireBug Group to expand their offering to
customers in the rest of the world where TVC has not been active
and FireBug is active in more than 20 countries. This gateway
should bring exponential growth for both company’s core products
and open the door to develop some new game changing
products. In addition to the core products, TVC has
developed a range of products that are non-core to the ILUS group,
the margins are very attractive and utilize the same manufacturing
process and the products have an outstanding customer base and
strong cashflow, and would create another platform for EV sales
later, so ILUS will continue to develop this cautiously and
structure it in a way that could allow possible divestment in
future and does not distract from the core focus of the
group.
While TVC has strong manufacturing skills and IP, FireBug brings
new more advanced, environmentally friendly, more cost-effective
& longer lasting, lower maintenance & lighter-weight
technologies. FireBug has its own Co-Polymer plastic vehicle body
manufacturing technology and this will be introduced into the TVC
products, replacing the old fashioned conventional GRP and Metal
vehicle bodies with almost indestructible co-polymer
bodies.
Importantly TVC has the assembly capability to scale up the
production of the ILUS ERaptor for the region. TVC has been
successful over the years, providing vehicle conversions under
partnerships with OEM vehicle manufacturers for the Middle East
Market and ILUS will look to develop this further.
Ultimately the TVC customer base in the region, who are
mostly Blue Chip, Government departments and various agencies, are
under immense pressure to move to EV. This opens the door for the
ILUS EV sales. ILUS is heavily focused on the development of an
expanded EV offering in the future. The majority of the sectors
which ILUS Group target have not been modernized for decades so the
demand for modernization way supersedes the supply.
The Middle East and North Africa Market (MENA) has a population
of 580mil people and is undergoing extensive re-focus and huge
investment moving away from oil dependency, creating the
opportunity for change. The market is largely under-serviced with
the products that TVC supply and naturally being a desert, water
saving is vital, which supports the FireBug water saving
technology. One example is Saudi Arabia, who is creating an entire
new Region called NEOM, which is a 2 Trillion Saudi Riyals (+$500
Billion) development, the demand for ILUS & TVC products in the
region is incredibly large. Nicolas Link, CEO of ILUS, says that
he expects that the acquisition of TVC will allow the group to
maximise the potential in the region and exponentially grow revenue
far quicker than could be done organically. The operational cost
savings and efficiencies have a tremendous added value to the group
too, and the benefit of a well established and respected
brand like TVC will no doubt enhance ILUS, the brand, and
shareholder value.
Both companies look forward to integrating the businesses and
expanding the ILUS business in the Middle East & North
Africa.
For further information on the companies please see their
communication channels website: www.ilus-group.com
Twitter : OTC_ILUS
Nicolas Link CEO
email : nick.link@ilus-group.com
Irina Shatalova PhD,MBA,
(PA to the CEO and Investor Relations)
Email: Irina.Shatalova@ilus-group.com
Website: www.thevehicleconverters.com
Source: ILUS
Related Links:
http://ilus-group.com
http://raptor-utv.com
https://thevehicleconverters.com
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