3 January 2025
CT Automotive Group PLC
("CT Automotive" or
the "Group")
Service Agreement with iAqua
CT Automotive Group PLC announces the following
historic service agreement with a related party.
Service
Agreement with iAqua Watercraft Limited
On 1 May 2024, CT Automotive entered into
a general service agreement with iAqua Watercraft Limited, a 100%
wholly owned subsidiary of iAqua Limited (together, "iAqua") under which it would provide
general services to iAqua on a 'cost-plus' basis ("Service Agreement"). The Service
Agreement covers the provision of Engineering Services (including
the design and development of automobile components) and Product
Management (for automobile components), by CT Automotive to iAqua
and its subsidiaries. The Company does not expect to invoice
in excess of $100,000 annually to iAqua under the Service Agreement
and the Service Agreement is profitable for CT
Automotive.
Related Party
Transaction
Simon Phillips, CEO and Founder of CT
Automotive is also a 30% shareholder of iAqua Limited. By virtue of
Simon's shareholding in iAqua Limited and his position at CT
Automotive, iAqua is a related party of the Company pursuant to
Rule 13 of the AIM Rules for Companies.
As required by AIM Rule 13, the Directors of
the Company (excluding Simon Phillips), having consulted with the
Company's Nominated Advisor, Singer Capital Markets, consider
that the terms of the Service Agreement are fair and
reasonable.
Enquiries:
|
CT
Automotive
Simon Phillips, Chief Executive
Officer
Salman Mohammed, Chief Financial
Officer
|
Via
Novella
|
|
Singer Capital
Markets Advisory LLP (Nominated Adviser and Broker)
Steve Pearce, Alex Bond, James Todd
|
Tel: +44 (0)20 7496
3000
|
|
Novella
Communications (Financial Public Relations)
Tim Robertson, Claire de Groot, Safia
Colebrook
|
Tel : +44 (0)20 3151
7008
ctautomotive@novella-comms.com
|
Notes to editors
CT Automotive is engaged in the
design, development and manufacture of bespoke automotive interior
finishes (for example, dashboard panels and fascia finishes) and
kinematic assemblies (for example, air registers, arm rests,
deployable cup holders and storage systems), as well as their
associated tooling, for the world's leading automotive original
equipment suppliers ("OEMs") and global Tier One
manufacturers.
The Group is headquartered in the UK
with a low cost manufacturing footprint. Key production facilities
are located in Shenzhen and Ganzhou, China complemented by
additional manufacturing facilities in Mexico, Türkiye and Czechia.
CT Automotive's operating model
enables it to pursue a price leadership strategy, supplying high
quality parts to customers at a lower overall landed cost than
competitors. This has helped the Group build a high-quality
portfolio of OEM customers, both directly and via Tier One
suppliers including Forvia and Marelli. End customers include
volume manufacturers, such as Nissan, Ford,
GM and Volkswagen Audi Group, and premium luxury car brands such as
Bentley and Lamborghini. In addition, the Group supplies all
our customer base with a range of products for PHEV and BEV
platforms and supplies electric car
manufacturers, including Rivian and a US based major EV
OEM.
The Group currently supplies
component part types to over 57 different models for 22 OEMs. Since
its formation, the Group has been one of the very few new entrants
to the market, which is characterised by high barriers to
entry.