VivoPower International PLC has entered into a binding Letter of Intent (LOI) with Toyota Motor Corporation Australia Limited (Toyota Australia) 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. (Tembo).

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 finalized 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 five years, with a further two-year option (seven years in total).

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