I think the placement was a well-thought strategy considering the company doesn't have many shares outstanding, as many already mentioned here on the forum, this is most likely an emergency act as all other means to collect money would take way more time - Read below (There is not much to discuss anymore - it is clear this share is doubling in a matter of a couple of weeks) - anyone who talks negatively about this company is trying to get cheap stocks before the spaceship takes off!!.
Electro Optic Systems Hldg Ltd (
ASX:EOS) is significantly expanding its production capacity after executing a major weapon systems order and becoming the preferred tenderer for two others.
The company produces robotic or remotely-controlled weapon systems, tailored to mount customer weapon inventories.
Electro had executed a $170 million contract to supply weapon systems to aerospace and defence systems company Orbital ATK Inc (NYSE:OA) in June this year.
The contract, deliverable from 2017 to 2020, relates to Electro’s new R-400S-Mk2 weapon system product, released to the market early in 2017.
The R-400S-Mk2 product has been tendered for two other international customers who have chosen Electro as their preferred bidder for contract negotiation.
Significantly, the company now expects to exceed $500 million in 2017 orders for its new weapon system.
Electro has entered into an agreement for a larger facility in Australia that has a production capacity of $150 million per annum per shift to be operational from Q1 2018.
The company has been working with its suppliers to increase capacity, improve quality and reduce risk through just-in-time supply chain management.
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