Starcom PLC Updated Contract with Zero Motorcycles (1357D)

TIDMSTAR

RNS Number : 1357D

Starcom PLC

17 February 2020

17 February 2020

Starcom PLC

("Starcom" or the "Company")

Further re. Agreement with Zero Motorcycles Inc

Starcom (AIM: STAR), which specialises in the development of wireless, Internet of Things (IoT) based solutions for the remote tracking, monitoring and protection of a variety of assets, is pleased to provide an update on the Company's relationship with Zero Motorcycles Inc ("Zero").

Further to the Company's existing arrangements with Zero, Starcom has on 13 February 2020 signed a Statement of Work ("SOW") with Zero for the development of certain technology enhancements to the Starcom Helios units that are integrated within Zero's motorbikes. These enhancements will be supplied over the coming three months. The enhanced Helios units are intended to improve connectivity with the motorbikes, enabling Zero to centrally track and control a greater number of such motorcycles as it scales up production. In return, under the SOW Starcom will be entitled to a small increase in the recurring SaaS revenues generated per connected motorcycle. The Board of Starcom believes that this SOW demonstrates the increased level of collaboration between the two companies, as well as Zero's commitment to utilising Starcom's solution.

Whilst the quantities of motorcycles incorporating the Company's Helios units sold by Zero to date remains low, Zero has indicated to Starcom that it anticipates a significant increase in demand for the motorcycles in 2020.

Avi Hartmann, CEO of Starcom, commented, "This new SOW demonstrates the depth of integration we have achieved with Zero and the strategic nature of the relationship. We are also pleased to see Zero's confidence in increased demand for the units.

"We believe that this is a significant milestone for Starcom and we are proud to be part of the electrical revolution in the transport market which we expect to lead to new customer relationships in the sector in due course."

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Enquiries:

 
 Starcom Plc 
 Michael Rosenberg, Chairman                         07785 727 595 
 Avi Hartmann, CEO                                   [phone] 
 
 Allenby Capital Limited (Nominated Adviser and 
  Broker)                                            020 3328 5656 
 James Reeve / Jeremy Porter / Asha Chotai 
 Peterhouse Capital Limited (Joint Broker)           020 7469 0930 
 Lucy Williams / Charles Goodfellow / Eran Zucker 
 Leander PR (Financial PR)                           07795 168 157 
 Christian Taylor-Wilkinson 
 

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February 17, 2020 02:00 ET (07:00 GMT)