Munich/Vienna/Berlin, 19 December 2018. The German Federal Ministry of Transport and Digital Infrastructure as the contracting authority has informed CTS EVENTIM and Kapsch TrafficCom that their joint consortium is to be awarded the contract for collecting the German infrastructure charge (‘passenger vehicle toll’). CTS EVENTIM is an international leader in the ticketing and live entertainment sector, while Kapsch TrafficCom is a globally recognized provider of intelligent transportation systems. The operating company will be a joint venture between CTS EVENTIM and Kapsch TrafficCom, with each party holding 50 percent of shares.
CTS EVENTIM and Kapsch TrafficCom had participated in the federal government’s EU-wide call for tenders as a bidding consortium to combine complementary areas of expertise in their future joint venture. While Kapsch TrafficCom has extensive experience in the deployment and operation of toll collection systems, CTS EVENTIM, as one of Europe’s largest e-commerce players, will contribute its expertise gained from the sale of over 250 million tickets per year, handling transactions across multiple countries, languages, and currencies.
Klaus-Peter Schulenberg, CEO of CTS EVENTIM, said: ‘We thank the federal government for its confidence in our digital, customer-centred approach. At the same time, we greatly look forward to working with Kapsch TrafficCom to make this exciting project a success. We want to make the collection of the passenger vehicle toll as simple as possible for everyone.’
By collecting the passenger vehicle toll, CTS EVENTIM will for the first time be making its expertise fully available for a purpose beyond the ticketing sector. As Europe’s leading provider in this market, CTS EVENTIM has for many years been formative in its industry’s transformation to digital. A key prerequisite for this is system-stable online solutions focused on the user experience – from targeted marketing on all relevant channels, state-of-the-art customer service and CRM solutions, through to secure payment processing. Internationally tried and tested in transactions with hundreds of millions of ticket purchasers, these processes will help ensure that the passenger vehicle toll will be charged in the most intuitive, speedy, and automated manner possible for everyone subject to the toll.
Projects in over 50 countries worldwide have given Kapsch TrafficCom comprehensive experience in the design, installation, and operation of intelligent toll collection systems.
The company’s core technology has been tested in a wide range of regulatory environments and types of infrastructure, and is ideally suited to provide an efficient and frictionless collection of the passenger vehicle toll. In a separate tender process, Kapsch TrafficCom was already contracted several weeks ago as the sole operator of the passenger vehicle toll monitoring system.
André F. Laux, COO of Kapsch TrafficCom, added that ‘Germany’s network of highways is among the large and complex networks in Europe. This means that toll collection will naturally present challenges on many different levels. Our technical knowledge and extensive experience in operations and implementation coupled with CTS EVENTIM’s expertise in sales and payment processing, means we have all the essential components to ensure a frictionless and convenient process for all concerned.’
The contract can only be formally awarded to CTS EVENTIM and Kapsch TrafficCom once unsuccessful bidders have been informed of the outcome as scheduled – i.e. on 30 December 2018, at the earliest. In the event that any of the unsuccessful bidders initiates an objection to the award of contract by asserting their rights of protection in accordance with public procurement law, the outcome of any such proceedings must first be resolved.
The contract between the Federal Republic of Germany and the operating company commences with the binding awarding of the contract, and has a base term of twelve years from the start of the passenger vehicle toll collection. The principal has the option of extending the contract once for a three-year period or three times for a one-year period (i.e., up to a total term of 15 years). Revenues from the passenger vehicle toll are specifically designated for investment in the federal highway network.
The total contract volume for the operating consortium over the minimum contract period totals almost two billion euros including VAT. Both companies are expected to report their holdings in the joint venture in their respective consolidated financial statements using the equity method.
About CTS EVENTIM
CTS EVENTIM is one of the leading international providers of ticketing services and live entertainment. In 2017, more than 250 million tickets were marketed using the company’s systems – through stationary box offices, online or mobile. Its online portals operate under brands such as eventim.de, oeticket.com, ticketcorner.ch, ticketone.it, and entradas.com. The EVENTIM Group also includes many concert, tour and festival promoter companies for events like ‘Rock am Ring’, ‘Rock im Park’, ‘Hurricane’, and ‘Southside’. In addition, some of Europe’s most renowned venues are operated by CTS EVENTIM, for example the LANXESS arena in Cologne, the Waldbühne in Berlin and the EVENTIM Apollo in London. CTS EVENTIM AG & Co. KGaA (ISIN DE 0005470306) has been listed on the stock exchange since 2000 and has been a member of the MDAX segment since 2015. In 2017, its 3,020-strong workforce generated more than one billion euros in revenues in 23 countries.
About Kapsch TrafficCom
Kapsch TrafficCom is a provider of intelligent transportation systems in the fields of tolling, traffic management, smart urban mobility, traffic safety and security, and connected vehicles. As a one-stop solutions provider, Kapsch TrafficCom offers end-to-end solutions covering the entire value creation chain of its customers, from components and design to the implementation and operation of systems. The mobility solutions supplied by Kapsch TrafficCom help make road traffic safer and more reliable, efficient, and comfortable in urban areas and on highways alike while helping to reduce pollution. Kapsch TrafficCom is an internationally renowned provider of intelligent transportation systems thanks to the many projects it has brought to successful fruition in more than 50 countries around the globe. As part of the Kapsch Group, Kapsch TrafficCom has subsidiaries and branches in more than 30 countries. It has been listed in the Prime Market of the Vienna Stock Exchange since 2007 (ticker symbol: KTCG). Kapsch TrafficCom currently has more than 5,200 employees, and generated revenue of approximately EUR 693.3 million in fiscal year 2017/18.