JOHANNESBURG, Dec. 15, 2010 /PRNewswire-FirstCall/ -- Elster (NYSE: ELT) announced today that the company has sold a 25.1 percent stake in Elster Kent Metering Ltd to a black economic empowerment (BEE) compliant investment company held by Lily of the Valley Endeavour (LOVE) trust.
With this investment, Elster has now obtained a BEE rating from the South African government which expands the opportunity for the company to participate in public tenders.
The LOVE trust is a non-profit organisation established in early 2009 to serve vulnerable children and communities in South Africa. The trust grew out of two initiatives dating back to 1993 when Lily of the Valley was founded in response to the AIDS pandemic and children affected by HIV and AIDS. The LOVE trust has created a model for focusing on vulnerable children and providing excellent education.
"The proceeds from Elster Kent will significantly assist us in developing self- sustainable projects around the country," said Martin Morrison, Trustee of LOVE trust (Gauteng).
"What is key about this BEE investment is that absolutely all the proceeds from Elster Kent will be channeled to assist vulnerable and disadvantaged children and communities," Morrison added.
"South African Black Economic Empowerment legislation (BEE) privileges companies with (partial) black ownership in public tenders. Participation of LOVE trust will give Elster Kent a BEE rating which expands the opportunity for the company to participate in South African tenders," said Mark Shamley, managing director for Elster Kent Metering (Pty) Ltd.
Elster (NYSE: ELT) is one of the world's largest electricity, gas and water measurement and control providers. Our offerings include distribution monitoring and control, advanced smart metering, demand response, networking and software solutions, and numerous related communications and services – key components for enabling consumer choice, operational efficiency and conservation. Our products and solutions are widely used by utilities in the traditional and emerging Smart Grid markets.
Elster has one of the most extensive installed revenue measurement bases in the world, with more than 200 million metering devices deployed over the course of the last 10 years. It sells its products and services in more than 130 countries across electricity, gas, water and multi-utility applications for residential, commercial and industrial, and transmission and distribution applications.
For more information about Elster, please visit www.elster.com.
About Elster Metering Limited
Elster Metering Limited is a world leader in providing innovative water metering solutions, including low flow and leakage detection applications. Elster Metering Limited manufactures water meters for utility, commercial and domestic use at its factories worldwide and offers a complete water metering portfolio including solutions for revenue metering, cost allocation, network monitoring, distribution and industrial applications.
For more information about Elster Metering, please visit www.elstermetering.com.