SerVision plc Distribution Agreement (8316M)

TIDMSEV

RNS Number : 8316M

SerVision plc

25 January 2016

25 January 2016

SerVision plc

("SerVision" or the "Company")

Distribution Agreement with Convoy Technologies LLC

SerVision (AIM: SEV), the AIM quoted developer and manufacturer of digital video security systems, is pleased to announce that SerVision Inc., the Group's wholly owned subsidiary operating in the United States of America, has signed a binding agreement with Convoy Technologies LLC ("Convoy Technologies"), an established US-based company that manufactures visual tools for heavy duty vehicles to improve fleet safety, security and productivity. Convoy Technologies will act as a non-exclusive distributor of SerVision's MVG Video Gateway products (the "Products") in the US, Canada, Central and South America, and it has an existing and well-established customer-base that includes over 100,000 vehicles.

Pursuant to the agreement, Convoy Technologies has agreed to place an initial purchase order with SerVision for 1,250 MVG200 or MVG400 units which will be split into four deliveries during 2016. SerVision has received a down payment of $100,000 toward this order, and will be receiving payments for the outstanding balance as products are shipped. The contract is valued at a minimum of $518,750, depending on which model MVG is supplied by SerVision.

Gidon Tahan, Chairman and CEO of SerVision, commented, "We are very pleased to be working with Convoy Technologies and that our first contract with them is of a significant size. Penetrating the US market is one of our key geographical target markets, due to the size of its logistics network and reliance upon road-based transportation."

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SerVision plc                        [phone] 
Gidon Tahan, Chairman and CEO 
Allenby Capital Limited (Nominated   [phone] 
 Adviser and Joint Broker)                     5656 
Nick Athanas / James Reeve 
 
 
Beaufort Securities Limited (Joint 
 Broker) 
                                     [phone] 
Jon Levinson / Elliot Hance                    8300 
 
 
Cadogan Leander (Financial PR) 
                                 [phone] 
Christian Taylor-Wilkinson                   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

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January 25, 2016 02:54 ET (07:54 GMT)