Redflex Holdings (ASX:RDF) signs $68M contract with Transport for NSW

• Redflex Holdings’ (RDF) subsidiary, Redflex Traffic Systems, has signed a three-year deal with Transport for NSW
• The contract is for the operation of speed cameras in various regions of New South Wales
• Redflex is anticipating the contract will generate around $68 million over three years
• The new contract replaces the existing five-year contract between the parties
• On the market this afternoon, Redflex is up 0.26 per cent and is trading at 94.8 cents per share

Redflex Holdings’ (RDF) subsidiary, Redflex Traffic Systems, has signed a three-year deal with Transport for New South Wales.

The contract is for the operation of speed cameras in various regions of New South Wales.

Redflex is anticipating the contract will be valued at around $68 million over three years.

The new contract will commence on July 1, 2021 and replaces the existing five-year contract that Redflex currently has with Transport for New South Wales.

Under the agreement, Redflex will service the Northern, Hunter, Western and Sydney North regions of the state.

Notably, the company has been providing speed cameras in New South Wales State Government since 2010.

Earlier this month, the Federal Court approved VM Consolidated’s takeover of Redflex.

However, the deal still need to be approved from the General Authority for Competition in the Kingdom of Saudi Arabia.

On the market this afternoon, Redflex is up 0.26 per cent and is trading at 94.8 cents per share at 2:01pm AEST.