NEWS..Wanderport Signs a Sales and Distribution Agreement for Eastern-Europe
Press Release Source: Wanderport Corporation On Tuesday March 2, 2010, 8:00 am
NEW YORK, NY--(Marketwire - 03/02/10) - Wanderport Corp. (Pinksheets:WDRP - News) today announced that it has concluded a definitive sales and distribution agreement with Ovaks Ltd. of the Republic of Belarus.
Established in 1994, Ovaks Ltd. began supplying residential and commercial construction companies insulation and other essential material for the construction industry. In 2003, the company acquired the exclusive Eastern-European distribution rights to penopolisterol, (foam plastic found between two steel panels which guarantees a high degree of insulation from heat and sound), manufactured by Mosstroy-31 Ltd., of Moscow, Russia. Since 2005, Ovaks Ltd. has been involved in building and designing hundreds of new homes featuring construction techniques according to energy efficient methods learned while working closely with the Vitebsk Selstroy Institute. Ovaks has been doing business with construction companies stretching from Russia and Ukraine to Kazakhstan, building homes and supplying them various construction materials and tools.
"Ovaks Ltd. is perfectly positioned to penetrate the East-European marketplace because once a product receives certification approval by Belarus, then the certification is automatically accepted and approved by Russia, Ukraine and Kazakhstan thereby, facilitating product market entry to those countries," stated Mr. Serge Slizki, CEO of Ovaks Ltd.
Considering the Russian water heating equipment market value increasing more than two and a half times in the last four years and bearing in mind a 24% growth in the volume of imported water heating units within the first six month of 2009 for the electric storage water heater segment, Ovaks believes it is poised to capture a large portion of the East-European market with Wanderport's microwave energy tank-less water heater. Ovaks' contract term is for a five year period and includes the countries of Belarus, Russia and the Ukraine. Sales commitments are estimated at 62,000 units at an approximate cost price of $450 USD per unit for a total of $27,900,000 in revenue over the course of that same period. "For the last few years since receiving our award at the 2005 T.I.P.T.A show in Toronto, Robert Simoneau, product licensor, had the opportunity to get to know Ovaks Ltd. Their emphasis on energy efficient technologies and their existing sales channels within the East-European construction industry made this distribution agreement a natural fit, as a predominant portion of Wanderport's target market is pointed to the residential and commercial construction industry," said Richard Martel, Wanderport's President and CEO.
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