Tenon FM confirms more business after Elite deal

Tenon FM, the subsidiary of Mortice Limited (AIM: MORT), the AIM listed security and facilities management company, has confirmed it has won two contracts worth a combined total of £2.25m a year.

The two awards – Surrey & Sussex Police and BMW – come on the back of completing the £4.5m acquisition of Elite in April 2017. The focus since that deal has been on integrating it into the Tenon FM, broadening its cope in the UK FM market. These new contracts do exactly that.

Elite will provide cleaning and waste services for Surrey & Sussex Police having won a joint tender for both forces. The initial contract is for three years, with the potential to extend for a further two. It is Elite and Tenon FM’s first contract win in the police forces sector in the UK and the company is now working on several additional tenders within this sector.

Elite has also secured a place on the BMW approved supplier list and won a two-year contract. Having previously worked with BMW on an ad-hoc basis this is the first long term contract it has secured. As an approved supplier, Elite (and hence Tenon FM) is now part of the global framework for BMW, it is now tendering for several opportunities with other BMW Group companies.

Elite has a complementary mix of clients and services and is regarded as an excellent cultural and commercial fit for Tenon FM.

Tim Hancock, chief executive of Tenon FM said, “These two deals prove what a great acquisition Elite has been for our business. Already, it has given Tenon FM visibility in new sectors. What’s more, we are already talking about opportunities with the UK police services that builds on our security expertise plus, we are optimistic about our relationship with BMW in the UK and globally.

Tenon FM is moving at pace, expanding through organic growth and acquisition, and this deal is really going to help us achieve our goals.”

Manjit Rajain, chairman of Tenon FM said, “We are delighted with Elite’s performance to date. When we bought the business in April we identified several significant growth opportunities and believe these contract wins highlight the potential for the Tenon to further strengthen its growing presence in the UK.”