TIDMTWD

RNS Number : 6217C

Trackwise Designs PLC

22 June 2021

22 June 2021

TRACKWISE DESIGNS PLC

("Trackwise" or the "Company")

Extension and Amendment to EV OEM Manufacturing Agreement

Trackwise Designs (AIM: TWD), a provider of specialist products using printed circuit technology, announces an extension and amendment to the Product Manufacture and Supply Agreement (the "Agreement") with a UK manufacturer of electric vehicles ("EV OEM"), originally announced on 18 September 2020.

Further to a change in the needs of the customer, the term of the Agreement has been extended from three to four years, with a significant increase in expected volumes and potential value. First material revenues from the contract are now expected in H1 2022 rather than 2021.

In the event all contracted volumes are achieved, the Agreement would now be worth up to GBP54 million over the period to 31 December 2024, an aggregate increase of GBP16 million over the original Agreement for up to GBP38 million. Whilst material payments to Trackwise will be due in the event of lower volumes, this potential revenue value is not guaranteed in total as it is conditional on, inter alia, orders placed, supply, and annual pricing reviews. The Agreement can be terminated by either party after 31 December 2024.

The Agreement is for the supply of the Company's Improved Harness Technology(TM)-enabled ("IHT") flexible printed circuit boards for use in high and low voltage circuits in the manufacturer's vehicle battery modules and battery packs. Trackwise's technology reduces part count and assembly time while saving on space and weight.

Philip Johnston, CEO of Trackwise, commented: "This agreement reaffirms the strength of our relationship with the customer and the importance they attach to our products, with significantly greater expected volumes and a considerably higher overall value anticipated over the lifetime of the Agreement. We are delighted with the decision which further validates our technology as being among the best available to the burgeoning EV industry."

Enquiries:

 
 Trackwise Designs plc                         +44(0)16 8429 9930 
 Philip Johnston, CEO                          www.trackwise.co.uk 
 Mark Hodgkins, CFO 
 
 finnCap Ltd                                   +44(0)20 7220 0500 
 NOMAD and Broker 
 Ed Frisby / Tim Harper - Corporate Finance 
 Andrew Burdis / Barney Hayward - ECM 
 
 Alma PR                                       +44(0)20 3405 0205 
 Financial PR and IR 
 David Ison / Caroline Forde / Josh Royston 
  / Kieran Breheny

Notes to editors

Trackwise is a UK-based manufacturer of specialist products using printed circuit technology.

The full suite includes: Improved Harness Technology(TM) ("IHT") and Advanced PCBs - Microwave and Radio Frequency ("RF"), Short Flex, Flex Rigid and Rigid Multilayer products.

IHT uses a proprietary, patented process that Trackwise has developed to manufacture multilayer flexible printed circuits of unlimited length. While the technology has many applications, the directors expect that one of its primary uses will be to replace traditional wire harness in a variety of industries.

The Company has three sites, located in Tewkesbury, Stevenage (following the acquisition of Stevenage Circuits Ltd in April 2020) and Stonehouse. It serves customers in Europe and North America.

Trackwise Designs plc was admitted to trading on AIM in 2018 with the ticker TWD. For additional information please visit www.trackwise.co.uk

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU No. 596/2014) which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

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END

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June 22, 2021 02:00 ET (06:00 GMT)

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