AcadeMedia is awarded new contracts by the City of Gothenburg

The City of Gothenburg has announced its resolution regarding the tender for adult education provided by the municipality. As previously communicated, the City of Gothenburg has chosen a new procurement process with focus on lowest price, following the appeal in 2018-2019. Gothenburg will distribute the adult education to a limited number of suppliers, two of which are part of the AcadeMedia group – Movant and Hermods. AcadeMedia expect that the contracts will generate a lower turnover but with maintained margins.

The tender will come into effect on 25 February provided that no other party appeals the outcome. The contract period is from 1 July 2020 until 30 June 2024 at the latest and includes fifteen contract areas. Among the contract areas included are Swedish for Immigrants, basic adult education and upper secondary school for adults, as well as specialist vocational training.

As previously communicated, these are replacement contacts for AcadeMedia. The current contracts have a turnover of approximately SEK 60 million per year and run until June 30, 2020. If the new contracts with the City of Gothenburg come into place, the turnover is estimated at approximately SEK 40 million per year in total. Overall, price levels in the new contracts are in line with the current contracts.

The awarded framework agreements mean that AcadeMedia’s share of the total tendered volume will amount to approximately 12 percent. A decline from 20 percent today.

- We are pleased to continue to work as a supplier to the City of Gothenburg and to contribute to the development of people, enabling them to reach their goals. However, we are disappointed that the received allocation is not larger, but we are not surprised. The City of Gothenburg’s decision to focus on lowest price instead of quality was to our disadvantage since we work dedicatedly and systematically with quality, says Christer Hammar, head of AcadeMedia’s adult education.

 The contracts may be appealed yet again. A demand for appeal must be submitted no later than February 24, 2020.

For more information, please contact:
Christer Hammar, Head of the business segment Adult education
Telephone: +46 70 377 45 00
E-mail: christer.hammar@academedia.se

Hanna Clausén, IR contact
Telephone: +46 8 794 42 62
E-mail: hanna.clausen@academedia.se

About AcadeMedia
AcadeMedia creates opportunities for people to develop. The 16,900 employees at our 660 preschools, compulsory schools, upper secondary schools and adult education centres share a common focus on quality and development. Our 180,000 children and students are provided with a high-quality education, giving them the best conditions to attain both learning objectives and their full potential as individuals. AcadeMedia is Northern Europe ́s largest education company, with locations/facilities/presence in Sweden, Norway and Germany. Our size gives us the capacity to be a robust, long term partner to the communities we serve. More information about AcadeMedia is available on www.academedia.se.