SerVision plc New order and Kazakhstan agreement update (4362O)
May 28 2015 - 2:02AM
UK Regulatory
TIDMSEV
RNS Number : 4362O
SerVision plc
28 May 2015
28 May 2015
SerVision plc
("SerVision" or the "Company")
New order from Egged Israel Transport Cooperative
Society-Israel's largest bus operator
Update on existing agreement in Kazakhstan
New order from Egged Israel Transport Cooperative Society
Ltd
SerVision (AIM: SEV), the AIM quoted developer and manufacturer
of digital video security systems, is pleased to today announce
that Egged Israel Transport Cooperative Society Ltd ("Egged"),
Israel's largest transportation operator, has recently placed a
purchase order with SerVision valued at US$108,000 for the purchase
of 75 MVG400 units. SerVision has received the cash for the order
and the MVG units have already been successfully installed on Egged
buses in Israel.
In a letter sent to SerVision Egged has informed SerVision of
its intention to deploy, by 31 December 2016, SerVision's mobile
DVR units across their entire fleet of 3,920 buses in Israel and
1,700 buses that are owned by associate companies of Egged based in
the Netherlands and Poland. SerVision has started working towards
signing further purchase orders with Egged however the letter
provides no guarantee that any further purchase orders will be
forthcoming from Egged or on the terms or timing for any further
purchase orders.
Further announcements will be made as appropriate.
Update on existing agreement in Kazakhstan
The board of SerVision is also pleased to provide an update on
the agreement announced on 13 January 2015 with Crosstone Trading
Limited ("Crosstone") and A&A Traffic Technologies Limited
("A&A") in Kazakhstan for the supply of SerVision's video
gateway products for buses in Astana, Kazakhstan (the
"Agreements").
On 13 January 2015 SerVision announced that they had entered
into new agreements with Crosstone and A&A, operating in
partnership with and under the same umbrella as SMEU-Astana, to
deliver SerVision's fully integrated mobile video systems. The
Agreements are for the supply of 360 MVG400 units with the end-user
of the units being bus operator Astana LRT LLP. The Company is also
supplying the SVControlCenter, SerVision's enterprise-level video
monitoring software platform, as well as the SVProxy server
solution, a proprietary server designed to overcome a range of
cellular network related challenges.
The Company is pleased to announce that the 360 MVG400 units and
the cameras were shipped to Astana on 22 April 2015.
Under the terms of the Agreements, Crosstone and A&A
committed to an initial purchase order with an aggregate value of
US$415,000. US$207,500 in cash was paid to SerVision in January
2015. The balance of the Crosstone purchase order, valued at
US$195,300, was received by SerVision on 6 May 2015. The board of
SerVision anticipate receiving the balance of the A&A order,
valued at US$12,500, 75 days from receipt of shipment.
The board of SerVision is currently in negotiations to secure a
further purchase order with Crosstone, A&A and SMEU.
Gidon Tahan, Chairman and CEO of SerVision, commented: "We are
pleased to be commencing our relationship with Egged, the largest
transportation operator in Israel, and are delighted that they have
placed both an initial purchase order for 75 units and stated their
intention to gradually deploy our DVR solution across their entire
fleet by the end of 2016. We are pleased to have also now shipped
the initial purchase order on our recently announced Kazakhstan
agreement."
Chen Amram, Egged's CTO, added: "The initial deployment of
SerVision's MVG400 units enables us to remotely monitor what is
happening in real time on buses that operate in particularly
problematic areas in Israel. The DVRs send us real time alerts
wherever a security incident occurs, so authorities are fully
informed and able to respond accordingly. There is no question that
this technology has created a safer environment for both drivers
and passengers, and we look forward to rolling it out to the rest
of Egged's fleet."
-ends-
SerVision plc +972 2535 0000
Gidon Tahan, Chairman and CEO
Allenby Capital Limited (Nominated Adviser
and Broker) +44 (0)20 3328 5656
Nick Athanas / James Reeve
Leander (Financial PR)
Christian Taylor-Wilkinson +44 (0)7795 168 157
Notes to Editors
SerVision is a pioneer in the field of security communications
technology and a leading developer and manufacturer of fully
integrated video recording and transmission systems for homeland
security and transportation applications. The Company's core
technology is proprietary video compression which is optimised for
streaming real-time video over any type of cellular or narrowband
network.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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