The $29m deal is "significantly larger" than any other for the Group.
Companies: CyanConnode Holdings plc
Cyanconnode (LON: CYAN) has announced today it has received a $29m purchase order for smart metering deployment in the Ukraine.
The deal is the Group's largest order to date, and takes the order book value to $100m, $33m of which is in the UK.
Shares jumped 20% in early trading to 0.18p, making back the lost ground of last week with two RNS announcements from the Group.
The order from NIK LLC is for the supply of CyanConnode's hardware and software infrastructure for a 1 million unit smart metering deployment to be delivered over the next three years.
The Group will receive $13m upfront with the majority of deliveries expected in years two and three.
The order is the first for the Group in Eastern Europe, expanding their geographical reach.
John Cronin, CyanConnode Executive Chairman, commented:
"We are pleased to announce such a significant order from our partner, in a new geographic region. This latest contract win further demonstrates the suitability of CyanConnode's award-winning technology for smart metering implementations and the scalability of its collaborative business model."
Mr. Cronin also spoke to BRR Media in an interview which goes into detail about the purchase order.
According to a recent report by market intelligence firm Northeast Group, Central and Eastern European countries are forging ahead with investment in smart grid infrastructure. These markets are set to invest US$25bn over the next ten years.
Cyanconnode currently has a market cap of c. £30m, as share prices have remained relatively flat for the three years to September 2017.
After five years of flat revenue growth, FY16 saw a sharp spike in revenue as the Group began to commercialise its operations. Net profits, however, continued to swell with this widening expected to continue into FY17 and beyond.
