VivoPower’s Tembo to Accelerate Africa Expansion in Definitive Agreement with AVA, East Africa’s Largest Vehicle Assembler

Rhea-AI Summary

VivoPower (Nasdaq: VVPR) announced on Oct 31, 2025 that its Tembo e-LV unit signed a binding definitive agreement with Associated Vehicle Assemblers (AVA) to distribute, assemble and service Tembo’s 100% electric utility vehicles across Kenya, Tanzania and wider East Africa.

The partnership creates local assembly, installation, mobile technical support and a Tembo office in Kenya, leverages AVA’s IATF16949 certification and OEM assembly experience, and aims to unlock access to a 500-million-person East African market while supporting jobs, skills transfer and green industrialisation.

Positive

• Signed binding definitive agreement on Oct 31, 2025
• Local assembly and service across Kenya, Tanzania and East Africa
• Access to a 500-million-person regional market
• Partner AVA holds IATF16949 certification and OEM assembly experience

Negative

• None.

Insights

Market Expansion Analyst

Definitive partnership with AVA accelerates Tembo's East Africa rollout and creates local assembly, service, and training capacity.

Tembo’s binding agreement with Associated Vehicle Assemblers Ltd. (AVA) creates a local platform for assembly, distribution, installation, and maintenance across Kenya, Tanzania and the wider East Africa market, anchored by AVA’s established OEM relationships and manufacturing credentials. The arrangement includes a Tembo office and a mobile technical support network, and explicitly targets local upskilling and supply‑chain development, which should shorten delivery cycles and improve after‑sales responsiveness.

Key dependencies and risks include successful operational integration with AVA’s facilities, the pace of local EV adoption, and the effectiveness of technician training in maintaining quality standards. The deal cites access to a ~500‑million‑person market and leverages AVA’s IATF16949 certification as a quality differentiator; these facts support the case for scalable regional deployment but require execution to translate into orders and revenue.

Watch for concrete milestones over the next 6–18 months: local office opening, first assembled vehicles delivered, technician certification completion, and initial fleet contracts in 2026 (or earlier). Those metrics will indicate whether the partnership moves from strategic intent to measurable commercial traction.

AVA to distribute, assemble and service Tembo’s full range of electric utility vehicles across Kenya, Tanzania, and wider East Africa

AVA’s existing assembly partners include Toyota, Fuso, Hino, Volvo, Scania, Tata and Mahindra

Strategic partnership strengthens Tembo’s regional presence through local assembly, sales, installation, and service network, unlocking access to a 500-million-person market

Tembo to establish an office in Kenya and a mobile technical support network

Established in 1975, AVA is the only assembler in the region to have achieved IATF16949 Certification

LONDON, Oct. 31, 2025 (GLOBE NEWSWIRE) -- VivoPower International PLC (Nasdaq: VVPR) ("VivoPower" or the "Company") today announced that its subsidiary, Tembo e-LV (“Tembo”), has signed a binding definitive agreement with Associated Vehicle Assemblers Ltd. (“AVA”), East Africa’s largest and most experienced vehicle assembler, to distribute, assemble, and service Tembo’s 100% electric utility vehicles (“EUVs”) across Kenya, Tanzania, and other East African nations.

The agreement marks a significant milestone in Tembo’s global electrification rollout and underscores its strategy of building sustainable, regionally anchored partnerships. With AVA’s extensive experience assembling vehicles for leading OEMs—including Toyota, Fuso, Hino, Mahindra, Scania, Tata, Volvo, and Daewoo—the partnership establishes a robust local platform for deployment and long-term support of Tembo’s electric mobility and energy solutions.

Through this collaboration, Tembo and AVA will deliver on-the-ground assembly, installation, and maintenance services, ensuring customers across East Africa benefit from reliable local support. Tembo will also work closely with AVA to upskill local technicians and engineers, strengthening regional expertise in electric vehicle assembly, servicing, and energy integration.

As part of the partnership, Tembo will establish a local office and a mobile technical support network to enhance service delivery and operational readiness. The initiative is expected to foster local job creation, knowledge transfer, and supply-chain development, supporting Kenya’s and the region’s transition to sustainable mobility and green industrialisation.

Matt Lloyd, Managing Director of AVA, said: “We are excited to partner with Tembo at such a pivotal moment for Kenya’s transition to electric mobility. The country is taking a bold, forward-looking approach to EV adoption, and Tembo’s portfolio of products aligns perfectly with our vision. It was a pleasure hosting the Tembo team at our Mombasa facility, and with their continued support, we’re confident this partnership will deliver significant benefits for AVA, our customers, and the local economy.”

Kevin Chin, Executive Chairman of VivoPower, said: “We are proud to formalize this definitive partnership with AVA, an institution that has set the benchmark for quality and credibility in East Africa’s automotive industry. This binding agreement is part of our broader strategy to forge long-term alliances with trusted regional leaders who share our vision for electrification and energy transition. Together, Tembo and AVA will drive tangible decarbonisation across vital industries while supporting sustainable economic growth.”

Matthew Nestor, Director and Head of Global Partnerships at Tembo, said: “Signing this definitive agreement marks a pivotal step in Tembo’s mission to deliver reliable, rugged, and cost-effective electric mobility solutions for Africa. AVA’s deep manufacturing expertise and established OEM relationships, combined with Tembo’s proven engineering and safety standards, create a powerful platform to electrify commercial fleets across the region.”

About Tembo

Tembo electric utility vehicles (EUVs) are a 100% electric solution for ruggedised and/or customised applications for fleet owners in the mining, agriculture, energy utilities, defence, police, construction, infrastructure, government, humanitarian, and game safari industries. Tembo provides safe, high-performance off-road and on-road electric utility vehicles. Its core purpose is to provide safe and reliable electrification solutions for utility vehicle fleet owners, helping to perpetuate useful life, reduce costs, maximise return on assets, meet ESG goals and seeks to further the circular economy. Tembo is a subsidiary of VivoPower, a Nasdaq-listed B Corporation.

About VivoPower 

VivoPower International PLC (NASDAQ: VVPR) is a sustainability-driven enterprise undergoing a digital treasury transformation. The Company’s new direction centers on the acquisition, management, and long-term holding of XRP digital assets as part of a diversified digital treasury strategy. Through this shift, VivoPower aims to contribute to the growth and utility of the XRP Ledger (XRPL) by supporting decentralized finance (DeFi) infrastructure and real-world blockchain applications.

Originally founded in 2014 and listed on Nasdaq since 2016, VivoPower operates with a global footprint spanning the United Kingdom, Australia, North America, Europe, the Middle East, and Southeast Asia. An award-winning global sustainable energy solutions B Corporation, VivoPower has two business units, Tembo and Caret Digital. Tembo is focused on electric solutions for off-road and on-road customized and ruggedized fleet applications, as well as ancillary financing, charging, battery, and microgrid solutions. Caret Digital is a power-to-x business focused on the highest and best use cases for renewable power, including digital asset mining.

About AVA

Associated Vehicle Assemblers Ltd. (AVA) is East Africa’s leading vehicle assembler, with decades of experience in producing high-quality vehicles tailored to meet the unique needs of the region. Based in Mombasa, AVA has established itself as a trusted partner for global automotive brands, providing state-of-the-art assembly services and technical expertise. AVA’s commitment to quality, innovation, and sustainability has made it a key player in Kenya’s automotive industry, driving economic growth and supporting the transition to more sustainable transport solutions. As a pioneer in the region, AVA continues to lead the way in assembling vehicles that meet the highest global standards while catering to local market demands.

Forward-Looking Statements

This communication includes certain statements that may constitute "forward-looking statements" for purposes of the U.S. federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts, or other characterizations of future events or circumstances, including any underlying assumptions. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements may include, for example, statements about the achievement of performance hurdles, or the benefits of the events or transactions described in this communication and the expected returns therefrom. These statements are based on VivoPower's management's current expectations or beliefs and are subject to risk, uncertainty, and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive and/or regulatory factors, and other risks and uncertainties affecting the operation of VivoPower's business. These risks, uncertainties and contingencies include changes in business conditions, fluctuations in customer demand, changes in accounting interpretations, management of rapid growth, intensity of competition from other providers of products and services, changes in general economic conditions, geopolitical events and regulatory changes, and other factors set forth in VivoPower's filings with the United States Securities and Exchange Commission. The information set forth herein should be read in light of such risks. VivoPower is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements whether as a result of new information, future events, changes in assumptions or otherwise.

Source: Fuso

Contact 
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shareholders@vivopower.com 

FAQ

What did VivoPower (VVPR) announce on October 31, 2025 regarding Tembo and AVA?

Tembo signed a binding definitive agreement with AVA to distribute, assemble and service Tembo electric utility vehicles across Kenya, Tanzania and wider East Africa.

Which East African markets will Tembo (VVPR) serve under the AVA agreement?

The agreement covers vehicle distribution, assembly and service in Kenya, Tanzania and other East African nations.

How does the AVA partnership affect Tembo’s local support capabilities for VVPR vehicles?

Tembo will establish a Kenya office, a mobile technical support network, and work with AVA on local assembly, installation and maintenance.

What credibility does AVA bring to VivoPower’s (VVPR) Tembo rollout?

AVA is East Africa’s largest vehicle assembler with IATF16949 certification and existing OEM assembly partnerships.

Will the Tembo–AVA deal create jobs and skills in Kenya tied to VVPR operations?

Yes; the announcement says the initiative will foster local job creation, upskill technicians, and support supply-chain development.

What market size does the Tembo and AVA partnership target for VVPR in East Africa?

The partnership is described as unlocking access to a 500-million-person East African market.