EROAD has signed a new contract with Kinetic, New Zealand’s largest passenger transport business, alongside a series of new customer contracts and renewals here and in Australia.
Its expansion with Kinetic supports the operations of a significant fleet of close to 3000 vehicles and assets.
Overall, the transport technology services company reports recent customer wins totalling 4000 units, alongside key customer renewals of 1950 units.
In Australia, it signed a new five-year partnership with enterprise customer Programmed.
Programmed is a leading provider of staffing, facility management, maintenance and care services, and has signed a five-year contract for the MyEROAD telematics cloud platform to be deployed across a fleet of more than 2000 vehicles and 1000 assets.
Programmed will leverage EROAD’s smart solutions to enhance safety and communication for its drivers while improving the efficiency, and sustainability of its operations.
Programmed operates from over 100 locations across Australasia and in New Zealand it has already been successfully using the EROAD platform for 10 years.
EROAD chief executive Mark Heine says the deals are another “big step forward for EROAD’s growth strategy”.
“At EROAD we believe technology should be simple and make your job easier, so it’s inspiring to see more great companies turn to technology to improve their operations and make a positive impact on both employees and the communities they serve.
“There’s a huge amount of value to be had in improving the safety and sustainability of operations. Every day with EROAD clients we see even small incremental changes pay big dividends in the downstream impacts for both utilisation as well as improved employee and customer experience.
“We are also pleased we are expanding our partnership with Kinetic NZ, who were originally a Coretex customer, which is an important vote of confidence in the work we have done to successfully integrate Coretex and EROAD since the acquisition of Coretex in 2021,” Heine says.
Programmed risk and compliance general manager Shah Abdul-Rahman says EROAD’s solutions are playing a key role in health and safety around fleets.
“We selected EROAD after a successful trial that clearly highlighted how its embedded safety technology enables us to drive continuous improvement in safe driving behaviour,” Abdul-Rahman says.
Programmed fleet manager Chris Thompson says EROAD’s embedded EHUBO device and real time data service are helping support his team’s commitment to zero harm.
“Programmed can also see EHUBO playing a role in achieving our goal of NetZero by 2030. This partnership with EROAD and the integration of the drive buddy software will enable continuous improvement in developing safe driving behaviour for drivers.
“Real time visibility of our motor vehicle and plant equipment fleet will allow Programmed to develop efficiencies and drive productivity in our fleet management practice,” Thompson says.
Equity raise complete
In other news, EROAD has also updated the market that it has completed the retail shortfall bookbuild component of its $50 million equity raise.
The NZX and ASX-listed firm first announced the equity raise to the market on September 7 with $11.6m to be taken up by institutional investors, alongside a $38.4m offer to eligible shareholders at a rate of 70 cents per new share for every 2.06 shares held.
The retail offer closed on September 21 and raised around $5.6m, with 26.9% of eligible retail shareholders taking up the offer.
EROAD says the capital raised will be used to repay debt and provide funding headroom for its growth strategy, especially in the key North American market.
“It’s pleasing to receive the support of existing shareholders as well as welcome a number of new shareholders to EROAD, including new institutional investors,” board chair Susan Paterson says.
“This capital raise improves our capital structure as we continue to add game changing functionality for our customers and launch our decarbonisation tool.”
EROAD is currently trading at 66 cents per share, down nearly 6% over the past week.
