Following several weeks of what could be called a “dry spell”, positive newsflow is back for Swedish vehicle inspection specialist Opus. Today, the company announced that the State of Indiana has selected Opus Inspection’s subsidiary, Envirotest Corp., to begin contract negotiations to provide Vehicle Emissions Testing services for the Indiana Department of Environmental Management (IDEM).
Under the proposed IDEM contract, Envirotest will:
- Operate and maintain a vehicle inspection program in Lake and Porter counties, Indiana capable of testing up to two hundred and twenty thousand (220,000) gasoline-powered vehicles annually.
- Testing will be conducted at up to seven (7) centralized testing stations with a minimum of twenty-two (22) testing lanes.
- IDEM and Envirotest intend to negotiate a contract term of four (4) years with a State option to extend up to two (2) years.
“This is the first new contract awarded to Envirotest since it became an Opus Inspection subsidiary company earlier this year,” said Lothar Geilen, President and CEO of Opus Inspection. “We are extremely pleased that the Indiana Department of Environmental Management has demonstrated its confidence in our company and technology.”
“Envirotest expects to complete negotiations with IDEM very soon,” added Mark San Fratello, President of Envirotest. “We value the relationship we have had with IDEM for nearly two decades and are honored that they decided to enter negotiations with us to upgrade and continue to operate their vehicle emission testing program.”
Already yesterday, Opus Group’s Board of Directors increased the company’s financial targets with regards to the EBITDA margin. The yearly target for the company’s EBITDA margin was previously at least 10 percent and has now been increased to at least 15 percent from the year 2014 and onwards.