Australia's Electro Optic Systems jumps on forming JV to compete for govt program

Nova

03/08/2021 05:31

** Shares of space and defence tech firm Electro Optic
Systems Holdings  EOS.AX  jump as much as 5.5% to A$4.38, their
biggest intraday pct gain since July 23
    ** EOS and Nova Systems Pty Ltd, co that specialises in
provision of engineering and management services, announce
formation of Sovereign Missile Alliance (SMA)  urn:newsml:reuters.com:*:nASXbpklNY
    ** SMA is a joint venture which will compete for Australian
sovereign missile enterprise program 
    ** According to an official https://www.pm.gov.au/media/sovereign-guided-weapons-manufacturing
 website, the federal govt will accelerate creation of a A$1 bln
Sovereign Guided Weapons Enterprise to secure Australia's
defence capabilities
    ** The website adds that the country's Defence department
will select a strategic industry partner (SIP) to be a part of
the enterprise
    ** Co says SMA will compete for selection as an SIP
    ** About 610,000 shares change hands, vs the 30-day average
volume of ~568,000 shares
    ** EOS stock down 29.8% this year, as of last close
    
  

 (Reporting by Harish Sridharan in Bengaluru)
 ((harish.sridharan@thomsonreuters.com))