Acusensus (ASX: ACE) has secured a $27.4 million extension to a mobile phone and seatbelt technology agreement with the Queensland Department of Transport and Main Roads.

The extension will double the number of trailer-based mobile phone and seatbelt enforcement units used by the government in an effort to improve road safety outcomes across the state.

The new units will be progressively deployed in batches between February 2025 and July 2026 and each unit will be utilised for an initial term of five years.

‘Life-saving program’

Acusensus managing director Alexander Jannink welcomed the extended agreement.

“We are pleased to be continuing our life-saving program with Queensland’s Department of Transport and Main Roads and are proud to further support its efforts to improve road safety for the community,” he said.

Acusensus specialises in the delivery of artificial intelligence-enabled road safety solutions to governments and commercial stakeholders.

The company’s technology detects and provides prosecutable evidence in areas such as mobile phone usage while driving, seatbelt compliance, and speeding.

Speed camera contract

Acusensus was awarded another contract earlier this month for nationwide speed camera enforcement in New Zealand.

The company’s NZ subsidiary signed a master services agreement and statement of work with the New Zealand Transport Authority Waka Kotahi for an initial five-year term with two optional extension periods of two years each.

The initial term has a total estimated value of $83.7m.

Pioneering approach

Mr Jannink said the NZ government’s adoption of vehicle- and trailer-based speed enforcement represented a pioneering approach to road safety.

“Following on from successful initiatives by New Zealand’s police force to reduce road casualties through enhanced breath testing operations, we expect this speed camera program will increase enforcement capabilities to deter dangerous driving and reduce crashes,” he said.

The department reserves the right to extend the agreement timeframe in two stages for a total of 24 months.

Capital raising

Acusensus has completed a $12m capital raising to support its international growth and the further rollout of new contracts.

The company received firm commitments for an institutional placement of 11.1 million shares at $0.90 each to raise $10m.

Existing and new professional and sophisticated investors strongly supported the placement, which is expected to help strengthen the institutional ownership of Acusensus and increase the free float and liquidity in the market for Acusensus shares.

Eligible shareholders were also invited to participate in a non-underwritten share purchase plan to raise an additional $2m, which will be applied to business development, the purchase of fixed assets and new product innovation.

Share sell down

Mr Jannink and director Ravin Mirchandani have entered into a block trade agreement that will see their respective entities sell 1.67 million Acusensus shares each at the placement price.

On completion of the sell down, Mr Jannink’s entity will hold 15.1 million shares (or 10.8% equity) in the company.

Mr Mirchandani’s entity will hold 19.3 million shares (13.8%).