VivoPower International PLC signs LoI with Toyota Australia for EV conversion partnership

Source: press release, 23 June 2021

VivoPower: slated to become Toyota Australia’s exclusive partner for Landcruiser 70 electrification
VivoPower: slated to become Toyota Australia’s exclusive partner for Landcruiser 70 electrification (illustration: VivoPower)

VivoPower International PLC has announced that the company has entered into a binding Letter of Intent (LoI) with Toyota Motor Corporation Australia Limited to create a collaboration program between VivoPower and Toyota Australia for electrification of Toyota Landcruiser vehicles using conversion kits designed and manufactured by VivoPower’s wholly owned electric vehicle subsidiary, Tembo e-LV B.V.

The binding LoI sets out the terms for the purchase of preliminary goods and services and the basis upon which a Master Services Agreement (MSA) is expected to be finalised to govern an electric vehicle conversion partnership between VivoPower and Toyota Australia. Final terms of the MSA are under negotiation, but upon completion, it is intended that VivoPower would become Toyota Australia’s exclusive partner for Landcruiser 70 electrification for a period of 5 years, with a further 2-year option (7 years in total).

Kevin Chin, Executive Chairman and CEO of VivoPower, says, “We are extremely pleased to be collaborating with Toyota Motor Company Australia, part of the world’s largest original equipment manufacturer (OEM) on the electrification of their Landcruiser vehicles with our Tembo conversion kits. The Landcruiser is the vehicle of choice worldwide for mining and other ruggedised industries. This partnership with Toyota Australia is a testament to the outstanding potential of Tembo’s technology to decarbonise transportation in some of the world’s toughest and hardest to decarbonise industries. More importantly, it is a tremendous opportunity for us to work directly with Toyota Australia to optimise the Tembo product and deliver it to more customers around the world, helping them to achieve their net-zero carbon objectives in the process.”

While the MSA is still to be finalised, the LoI is a binding agreement between VivoPower and Toyota Australia to begin collaboration on Landcruiser electrification efforts.

VivoPower and Toyota Australia intend to finalise the MSA as soon as practicable.