Westminster Group Plc (LON:WSG), the AIM listed security and safety systems business, has picked up a new contract worth around $645,000 (£415,000) to supply a sophisticated countermeasures system to a national government in the Far East Under the terms of the contract, the company will provide specialised electronic countermeasures equipment compliant with export control requirements. The contract was secured by Westminster’s international division following a selective tender process and will be completed in the first half of 2011.
Last week, Westminster secured its largest single contract to date with a deal worth several million dollars to supply mobile surveillance systems to a national security service. In early trading this morning, shares in the group rose by 15% to 23p.
Peter Fowler, the chief executive of Westminster, said: “I am delighted to be able to announce this latest contract award which is not only significant in terms of revenue but also future business potential. This is yet another new governmental client to Westminster and further contract awards are likely to follow successful implementation. I am particularly pleased to be able to announce this new contract award so soon after our previous contract announcement which means we are now entering the 2011 trading year with our largest ever secured order book and a healthy enquiry flow.
He added: “This is a further validation of our distribution model via a specialist agency network. Our local agents are able to use their local knowledge and connections to successfully target governments and major corporations with Westminster's range of tailor made security solutions.”
Anyone following Westminster (LON:WSG) ?
I am not invested in WSG, but it has been on the watch list since the above article by Stockopedia News in January 2011.
WSG does seem like a story that could develop over the next few years, but the market does not seem to be showing much interest, which would be an opportunity cost consideration.
It’s currently a loss making operation (which is probably why the interest is not there as it’s just the story investors who would be considering without a barge pole), but this loss figure has reduced from 1.4m to 100k showing that it could be close to turning the corner, however WSG boasts a quote bank of over £300m having recently won an airport contract for $150m and has some blue chip clients.
Interim revenues were at 15m up 250% and the 32m shares in issue gives it a cap of around £8.7m.
Does anyone have any current thoughts on WSG?
