Agreement represents approximately US$160 million of revenue over three
TORONTO, Nov. 10, 2011 /CNW/ - Innovative Composites International Inc.
(TSX-V: IC) ("ICI" or the "Company"), announced today that it has
signed a Cooperation Agreement (the "Agreement") with Millenium Brasil
Limitada ("Millenium"), a Brazilian general contractor, and Green
Intelligence Corporation ("Greenco"), a consulting company dedicated to
the development of sustainable projects, to supply EcoScapeTM modular homes for large housing projects in Brazil.
According to the Agreement, approximately US$160 million worth of
EcoScapeTM homes would be shipped to Brazil from ICI's South Carolina facility
("SC facility") over the next three years. After such time, ICI would
establish a manufacturing facility in Brazil in cooperation with
Millenium and Greenco, subject to a minimum local demand for 10,000,000
square feet of housing annually.
ICI will ship a model home to Brazil in early 2012 and begin regular
shipments from the SC facility once commercial production begins,
expected in the first quarter of calendar 2012. The Agreement
contemplates a ramp up of 30 homes per week for the first 1,000 homes
increasing to 50 homes per week thereafter.
"EcoScapeTM modular housing has all the attributes we were looking to service large
scale demand in Brazil quickly," said Gustavo Cortês, legal
representative of Greenco in Brazil. "Its cost, speed of assembly,
energy efficiency and versatility of appearance make it a great choice
for the Brazilian market. We look forward to a long term relationship
with ICI and applaud their long term commitment to establishing a
manufacturing facility in Brazil in partnership with us."
"ICI continues to establish EcoScapeTM as the modular home system of choice for large scale low cost housing
projects worldwide," said ICI President and CEO Terry Ball. "There is
strong demand in the Brazilian housing market and we believe we have
found the right partners to take advantage of this opportunity. ICI
continues to win contracts and grow our project pipeline as we get
closer to the start-up of the SC facility in the first quarter of next
Chosen to host both the 2014 FIFA World Cup and the 2016 Summer
Olympics, Brazil boasts one of the world's most robust economies, with
7.5% growth in 2010 and a rapidly expanding middle class. Under an
ambitious accelerated-growth program (Programa de Aceleração do
Crescimento, or PAC) Brazil has laid down investment plans of more
than US$800 billion for infrastructure, including approximately US$72
billion for "Minha Casa, Minha Vida", which aims to build two million
new homes for low-income families before 2014.
About Millenium Brasil Limitada.
In business since 2002, Millenium Brazil (MBRA) implements large scale
construction projects as well as engineering projects with national
market leaders, mainly in the steel and petrochemical industries.
The result of a continuous process of evaluation of our people' skills,
is an MBRA team of professionals having the highest technical and
managerial competence. Our team's deep knowledge and experience in the
market segments in which we operate differentiates us from competitors,
allows for smooth business processes and reflects the requirements of
the market and its customers.
To find out more about MBRA please visit our website at: http://www.mbra.com.br/
About Innovative Composites International Inc.
Headquartered in Toronto, Canada Innovative Composite International
(TSX-V: IC) is a high tech engineering and manufacturing company that
is successfully commercializing a patent protected line of
state-of-the-art composite products targeted at the multi-billion
dollar transportation and affordable housing markets.
Led by a team of commercialization experts ICI has adopted a tier two
business model: it designs and manufactures game-changing products and
partners with established companies in its target markets to utilize
their sales channels for faster product roll-out.
This strategy and the superior characteristics of the products have
resulted in rapidly growing sales in both markets and opened up
opportunities that could lead to large scale contracts on an ongoing
To find out more about ICI please visit our website at: www.innovativecompositesinc.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
"Statements made in this press release include forward-looking
statements that involve a number of risks and uncertainties. These
statements relate to future events or future performance and reflect
management's current expectations and assumptions. A number of factors
could cause actual events, performance or results to differ materially
from the events, performance and results discussed in the
forward-looking statements, such as the economy, generally, competition
in its target markets, the demand for ICI's products, the ability of
ICI's clients to carry out their contract obligations and the
availability of funding. These forward-looking statements are made as
of the date hereof and ICI does not assume any obligation to update or
revise them to reflect new events or circumstances. Actual events or
results could differ materially from ICI's expectations and
SOURCE Innovative Composites International Inc.
For further information:
Ilja Troitschanski or Philip Dale
Chief Financial Officer TMX Equicom
(416) 646 0754 (416) 815 0700 ext 253