XTEK Limited (ASX:XTE) has signed an exclusive contract with the Australian Defence Force to provide a range of supply and service support activities for small unmanned aerial systems, or drones.
The Australian technology company was awarded the long-term contract which entails providing spare parts, repair, maintenance and support services for the ADF’s growing SUAS fleet.
To date, AusTender has issued four contract notices under this contract with the largest and most recent commitment amounting to $10.07 million.
Well-funded to execute strategy
The company last month completed a share purchase plan after raising $855,350 through the issue of shares at 45 cents each.
The SPP was announced to the market in July after the HighCom acquisition and the successful completion of an oversubscribed placement of $2.7 million.
With a total of about $3.5 million raised under the placement and SPP, XTEK is well funded to execute its operational strategy.
Proceeds will be used to fund the HighCom acquisition, growth in the US market, commercialisation of XTEK’s proprietary technologies and general working capital.
Commenting on the capital raising, XTEK managing director Philippe Odouard said: “XTEL is now well funded to execute its strategy in commercialising our range of soldier solutions in a global market and expanding into the US market.”