Memory Plus wins #3m ICL deal
Hybrid distributor Memory Plus has claimed a huge breakthrough in the European memory market, after securing a #3 million contract with ICL.
Under the one-year deal, the manufacturer and distributor will supply memory upgrades to ICL Sorbus' point-of-sale computers in Europe, as well to as other vendors including NCR and IBM.
David Flack, marketing manager at Memory Plus, said: 'Until now we've been a UK manufacturer and distributor, but this takes us to a pan-European level for the first time.'
He added: 'ICL has always had problems finding old technology memory upgrades for its installed base machines and it is not generally available from the average reseller. Our small manufacturing plant in Swindon can guarantee next-day delivery across Europe and will take away ICL's headache on this.'
Tim Polkinghorne, head of European procurement at ICL Sorbus, insisted Memory Plus' lack of European experience was not a matter for concern.
'The company has several pan-European agreements in the pipeline,' he said.
'We need a single source of supply because we are not buying standard computer memory that can be bought anywhere. With the technology behind it, Memory Plus can fulfil this,' added Polkinghorne.
The contract was greeted with enthusiasm by investors in Memory Corporation, the company which along with Datrontech has a joint stake in Dtec Memory Holdings, the owners of Memory Plus.
Memory Corporation has been out of favour with its investors following its move from the Alternative Investment Market (AIM) to Easdaq in Brussels, which has complained the market lacks the liquidity of its US counterpart Nasdaq.
Memory Corporation's flotation raised $2.3 million, just 10 per cent of the expected amount when it was floated on the Easdaq on 20 November.
The company is expected to cease trading on AIM around 19 January 1999.