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Driver-safety technology company Acusensus (ASX: ACE) has secured a breakthrough $34 million contract in Connecticut to supply automated speed enforcement in work zones, representing the Melbourne-based group’s largest contract so far in the US.
The contract with the Connecticut Department of Transportation (CTDOT) comes on the heels of earlier deals locked in with transport authorities in Arkansas and Kentucky in addition to programs already under way in North Carolina and Georgia.
The latest contract, expected to be worth US$22.6 million ($34 million) over the next five years, will see Acusensus deploy up to 15 transportable speed enforcement cameras at any given time. The first units will go live in November and the remainder in early 2026.
The news sent Acusensus shares to a record high of $1.68 in early trading on the ASX this morning.
“I am very proud of our team for growing our business and reputation in the USA to secure this first automated enforcement camera program,” says Acusensus founder and managing director Alexander Jannink.
“This contract marks a step change in our US business and validates a well thought out strategy that we have set in motion over a number of years to grow the business in multiple sequential stages.”
The US has been a key focus for Acusensus after the company established a regional headquarters in Las Vegas in early 2023.
“Securing our first automated enforcement program is a pivotal achievement,” says Jannink, who won the 2023 Australian Young Entrepreneur Award - Trailblazer.
“With the relentless focus our team has on delivering programs on time and delighting our customers, I am confident this program will serve as an exceptional reference point to enable further successes in our US business.”
Acusensus, which deploys a range of traffic enforcement technology in four Australian states and the ACT, boosted the number of US states using its technology to six in FY25 – up from one a year earlier.
Momentum is also building in Australia, with the latest contract coming on the heels of Western Australia signing a new $8.7 million contract last month, representing a near doubling of the existing deal Acusensus has with the state government.
Apart from monitoring driver speed in work zones, the latest contract with the CTDOT requires Acusensus to perform image review services, including licence plate lookups and the preparation of violation notices to be mailed to speeding drivers.
Acusensus notes that it will retain ownership of camera assets and is responsible for deploying and maintaining those assets.
“This selection validates the focus Acusensus has on technology development to keep worksites safe with both pioneering enforcement techniques and with novel worker protection projects,” says Jannink.
“I am immensely proud to be once again supplying technology that can save lives in such a crucial area of the road network.
“I am looking forward to working with CTDOT to mobilise the project to meet their ambitious timeframes, and to developing a long-standing relationship that will see improved safety across Connecticut roads.”
Acusensus, which will earn revenue from the contract largely through fixed monthly fees and "per deployment" fees, says it is well placed to deliver the program in Connecticut.
The company says its US operations and manufacturing team is complemented by an experienced transition-in team that has implemented similar programs in New Zealand for a nation-wide speed enforcement program.
Acusensus says that while it has a strong cash position, it has received credit approved non-binding term sheets from major banks to provide up to $25 million to further support business growth.
Shares in Acusensus were trading at $1.62, up 22c, at 11.33am (AEDT).
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