Zenova inks £2.4m paint supply deal

(Sharecast News) - Fire suppression specialist Zenova Group announced a two-year contract for 200,000 litres of its FP coating on Monday, with Drips and Sparks.

The AIM-traded firm said the contract was for Drips and Sparks to apply Zenova FP to steel surfaces at project sites operated by Gracewood Construction in the UK, and was valued at £2.4m over two years.

Payment would be made in equal monthly instalments against monthly deliveries to specified sites, starting immediately.

The substantial contract followed a successful 12-month trial with Drips and Sparks, facilitated by Zensafe, one of Zenova's major sub-distributors in the UK.

"This is a major contract win for our FP paint - in addition to a significant effort from our sales team working alongside Zensafe, winning this is also the result of the company's now well-engaged strategy of focusing on validating and aggressively marketing our best-in-class fire suppression products through a streamlined B2B distribution model," said chief executive officer Thomas Melchior.

"Securing a contract of this size further demonstrates the value-add of Zenova and its suite of high performance products, as we bring solutions to global needs.

"I fully expect our team to continue to deliver new business across all of our paint and extinguisher products, and look forward to updating the market on those developments in the near-term and beyond."

At 1012 BST, shares in Zenova Group were up 21.58% at 2.31p.

Reporting by Josh White for Sharecast.com.