logo-loader
viewEckoh PLC

Eckoh shares surge as unveils multi-million dollar tie-up in US

united_states350_5395a81b7bee4.jpg

Eckoh (LON:ECK), the secure payments specialist, saw its shares race up after it unveiled a five year multi-million dollar tie-up with a US communications firm.

It kicks off on July 1 and provides for minimum revenue payments to Eckoh totalling US$24mln over the term.

Eckoh's hosted products will be made available from October 1 this year via the partner's extensive telephone network, which processes billions of transactions per year.

The US firm's customer base includes over 80% of the Fortune 500 and covers a wide-reaching portfolio of sectors, including financial services, healthcare, retail and telecommunications.

Eckoh has a range of secure payment products that are designed to help merchants become compliant with industry standards.

Interest in this area has grown due to a number of high profile data breaches in recent months.

Echoh's chief executive Nik Philpot said: "Today's announcement represents a significant strategic milestone for Eckoh coming so soon after outlining our US expansion plans. 

"Given that our US partner is such a preeminent communications and outsource provider, working with so many large US organisations, we believe they are the perfect partner to help us quickly deliver significant sales growth from the US market. 

"Our first mover advantage, combined with the uniqueness and simplicity of our products that will be delivered through a trusted partner, is a combination that we believe US customers will find compelling."

Broker N+1 Singer said: "Eckoh’s products enable organisations to achieve PCI compliance in one of the most challenging areas of “card-not-present transactions” made over the phone and as a result the board believes there are further substantial opportunities for the group."

Eckoh gained 9.45% to stand at 44.875p.

Quick facts: Eckoh PLC

Price: 49 GBX

AIM:ECK
Market: AIM
Market Cap: £124.46 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Eckoh PLC named herein, including the promotion by the Company of Eckoh PLC in any Content on the Site, the Company receives from said issuer...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Eckoh chief sees substantial growth in US market

Eckoh PLC (LON:ECK) notched up its third successive year of double digit percentage revenue and margin growth in the year to 31 March 2016. While the performance last year was impressive, the secure payment products and customer contact solutions provider is becoming increasingly...

on 06/14/2016

2 min read