Belgravium in new sector thanks to UK postal contract
BELGRAVIUM TECHNOLOGIES, the company that makes hand-held systems which track goods through the supply chain, has won a new contract to supply hand-held units to TNT Mail.
TNT hopes the deal will help it to secure the number two slot behind Royal Mail in the UK postal market.
The deal is worth some £120,000, but as far as Bradford-based Belgravium is concerned, its importance is more strategic than monetary.
“It takes us into a market sector we have been trying to get into,” said Belgra- vium chairman John Kembery.
“We hope the contract will grow and develop into something bigger.”
TNT, which offers business customers a two-day mail service, will use the hand- held units to assist the sorting out of the mail. TNT said the units will provide real-time data capture to TNT’s warehouse operations.
The deal follows a major expansion for Belgravium earlier this month, when it bought rival Touchstar for £10.75m.
Touchstar also provides hand-held units which capture data, but it works in different markets. Touchstar’s fields of expertise are fuel distribution and it also provides mobile tills to the travel industry.
In fuel, the group helps to direct tankers from oil producers to petrol stations, taking them on the most cost- effective routes.
In travel it already provides mobile tills on low-cost airlines where people will pay for a meal on board and need to get their cards swiped. Touchstar is looking to sell tills to train and coach companies.
Belgravium hopes that by linking up with Touchstar it will gain the clout to approach new markets and sectors.
It will also provide cross-selling opportunities.
Touchstar is Belgravium’s biggest deal and, since Belgravium’s turnover is around £3.95m compared with Touchstar’s £7.3m, it constituted a reverse takeover.
