Strip Tinning secures 'significant' new contracts
Precision components business Strip Tinning has secured a "significant" new five-year nomination with BMW for its glazing division, underlining the firm's position as "a leading supplier" to the sector.
Strip Tinning said on Monday that it will provide glazing connectors for panoramic roofs on the new range of electric BMW iX vehicles, at a quantity of 16,000 connectors each month.
The AIM-listed group stated the contract was scheduled to commence in the fourth quarter of the current financial year and was expected to generate full-year revenues of roughly $1.2m.
Additionally, Strip Tinning also announced that Skoda, an existing customer, had signed a five-year nomination to increase its connector volume demand by 45%, again for use across its electric vehicle range.
"Both these nominations highlight the continuing focus of vehicle manufacturers on electric ranges, which generate higher margins for Strip Tinning due to the added complexity and high technical specification of the connectors required in EV," said the group.
As of 1125 BST, Strip Tinning shares had surged 11.11% to 110.0p.
Reporting by Iain Gilbert at Sharecast.com