LONDON, June 22, 2021 (GLOBE NEWSWIRE) – VivoPower International PLC (NASDAQ: VVPR, the “Company”) is pleased to announce that the Company has entered into a binding Letter of Intent (“LOI”) with Toyota Motor Corporation Australia Limited (“Toyota Australia”) to create a collaboration program between VivoPower and Toyota Australia for electrification of Toyota Landcruiser vehicles using conversion kits designed and manufactured by VivoPower’s wholly-owned electric vehicle subsidiary, Tembo e-LV B.V. (“Tembo”).
The binding LOI sets out the terms for the purchase of preliminary goods and services and the basis upon which a Master Services Agreement (“MSA”) is expected to be finalized to govern an electric vehicle conversion partnership between VivoPower and Toyota Australia. Final terms of the MSA are under negotiation, but upon completion, it is intended that VivoPower would become Toyota Australia’s exclusive partner for Landcruiser 70 electrification for a period of five years, with a further two-year option (seven years in total).
Kevin Chin, Executive Chairman and CEO of VivoPower, said: “We are extremely pleased to be collaborating with Toyota Motor Company Australia, part of the world’s largest original equipment manufacturer (“OEM”) on the electrification of their Landcruiser vehicles with our Tembo conversion kits. The Landcruiser is the vehicle of choice worldwide for mining and other ruggedized industries. This partnership with Toyota Australia is a testament to the outstanding potential of Tembo’s technology to decarbonize transportation in some of the world’s toughest and hardest to decarbonize industries. More importantly, it is a tremendous opportunity for us to work directly with Toyota Australia to optimize the Tembo product and deliver it to more customers around the world, helping them to achieve their net zero carbon objectives in the process.”
While the MSA is still to be finalized, the LOI is a binding agreement between VivoPower and Toyota Australia to begin collaboration on Landcruiser electrification efforts.
VivoPower and Toyota Australia intend to finalize the MSA as soon as practicable.
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