?1.7m Franchise Agreement in Africa

RNS Number : 4232C

Westminster Group PLC

01 May 2012

 



1^st May 2012

Westminster Group Plc:

Announces 10 year Franchise Agreement worth £1.7m

Westminster Group Plc ('Westminster' or 'the Group'), the AIM listed supplier of system solutions and products to the security, defence, fire protection and safety markets worldwide, is pleased to announce that it has entered into a 10 year franchise agreement with investors in Nigeria, West Africa, worth a minimum of £1.7m in franchise fees over the term of the agreement.  

Under the agreement Westminster will licence a Westminster franchise under the name of Westminster Security Solutions Nigeria Ltd ("WSSN). The franchise agreement will allow WSSN to operate as Westminster's exclusive agent in Nigeria promoting all Westminster products and solutions.

The Westminster franchise in Nigeria will be fully supported by Westminster UK, with Westminster providing the Managing Director for the business.  It is anticipated that there will be offices in several key cities and states in the near future with all the technical and administrative support services required, creating a strong presence throughout the country. This infrastructure will be funded by the franchisee. 

Commenting on the franchise agreement, Peter Fowler, Chief Executive of Westminster Group, said:

"I am delighted to be able to announce this franchise agreement so soon after the announcement of our latest strategic investor, being the latest stage of our growth strategy and which provides Westminster with significantly enhanced sales prospects in Nigeria together with visibility of additional earnings through the franchise fees.

"Nigeria is a key target market for our Group services. It is one of the fastest growing economies in the world and Africa's most populous nation. Nigeria has recently passed its security budget for 2012 which is the equivalent to $5.8 billion USD and in addition there are substantial opportunities for our products and services in the oil & gas markets as well as other commercial sectors. We are currently looking at a number of sizeable project opportunities from the region and are receiving high levels of enquiries for our services from both the public and private sectors.

"To be successful in many local markets we need to have a strong partner and a strong local presence.  We are very optimistic about the future prospects for this operating structure and it is a model we are looking at replicating in other regions."

For further information please contact:

Westminster Group plc	Tel: [phone]
Peter Fowler (Chief Executive)
Ian Selby (Chief Financial Officer)
Fairfax I.S. PLC (NOMAD + Broker)	Tel: [phone]
Stuart Gledhill/Katy Birkin
Winningtons Financial (Financial PR)	Tel: [phone]
Tom Cooper/Paul Vann	0797 122 1972

Notes:

Westminster Group plc is a leader in the supply of system solutions and products to the security, defence, fire protection and safety markets worldwide.

Westminster's principal activity is the design, supply and ongoing support of advanced technology security solutions, risk assessments and close protection services. These can range from product only assignments, such as the supply of specialised scanners, to the design and implementation of an integrated system solution such as a border detection and surveillance system. The majority of its customer base, by value, comprises governments and government agencies, non governmental organisations and blue chip commercial organisations.

 

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