Light Science Technologies Holdings PLC (AIM:LST, FRA:9FD), the technology and manufacturing group, said a newly launched public sector procurement framework worth up to £800 million was evidence that the UK building remediation market is picking up.
The company flagged the framework on Thursday but did not announce any contract win or place itself on the framework.
Efficiency East Midlands, a public sector procurement consortium, has launched a four-year Fire Safety, Fire Doors and Building Remediation framework, of which up to £584 million covers fire safety and building remediation works specifically.
The relevant lots cover external wall, facade and cladding remediation and cavity barriers.
The framework will be open to housing associations, local authorities, NHS bodies, emergency services, schools and universities.
LSTH said the scope was closely aligned with its passive fire protection strategy, which is built around Injectaclad, a proprietary cavity fire barrier system, and a national network of approved installation teams.
Cavity barriers are inserted into the gaps within external walls to slow the spread of flame and smoke, a failing identified in the Grenfell Tower fire and subsequent building safety reforms.
The company also said it was seeing progress in the processing of approvals by the Building Safety Regulator, the body that must sign off higher-risk building work before it starts.
Slow regulatory throughput has been a widely cited brake on remediation activity, delaying the point at which suppliers can convert pipeline into revenue.
Management said improving approval rates, alongside greater procurement activity, should support the progression of projects and conversion of its existing passive fire protection sales pipeline.
Simon Deacon, chief executive, said the scale of the new procurement opportunities and improving regulatory throughput gave the company increasing confidence in the outlook for the sector.
He told investors LSTH was well positioned to benefit as projects moved through the regulatory and procurement process.
