LONDON (Alliance News) - MayAir Group PLC shares soared on Wednesday after the company's commercial and industrial divisions both secured a string of new contracts worth a combined total of USD10.6 million, the majority of which will be delivered during this year.
MayAir shares were trading over 15% higher on Wednesday morning at 44.99 pence.
The provider of air purification technology said the industrial division was awarded a USD5.3 million contract last week from a subsidiary of China-based firm Shenzhen O-film Tech Co Ltd to provide fan filtration units, filters and related clean room equipment for its factory located in Nanchang, Jiangxi.
That contract will end this year, meaning the entire contract value will be recognised as revenue in 2016.
The commercial division has secured numerous additional contracts this month that are also worth a combined a total of USD5.3 million. Some of the contracts will be fulfilled this year like the one secured by the industrial unit, the company said.
The contracts cover work to retrofit the offices of Huawei Technologies Co Ltd using the company's clean air and PM 2.5 monitoring systems in certain cities in China, building on the successful installation of the same systems in Huawei's offices in Beijing, Chengdu, Shanghai and Langfang.
MayAir said the commercial unit has also secured a contract to install the existing office buildings of the State Grid Jiangsu Electric Power Co with the company's indoor clean air solutions and PM2.5 monitoring systems.
The last contract has been signed with the state-owned Guangzhou Metro Corp to supply indoor clean air solutions for the new subway lines, specifically line 9 and 14, of the metro system of the city of Guangzhou in Guangdong Province of China, which are currently under construction.
"The directors expect that the majority of revenue from these commercial contracts will also be recognised in the current financial year," said MayAir.
The contracts follow on from another recent update published by MayAir that showed the company had secured contracts worth USD22.8 million.
"We are particularly pleased to secure additional contracts for customers in our commercial division where we have previously installed our clean air solutions at their other sites. 2016 to date has produced robust revenue growth and as a result, we look forward with much confidence," said the company.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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