This afternoon, the shares in PipeHawk, an Aim-listed engineering company, increased by more than 130 percent after the announcement of the company regarding a major contract win.
QM Systems, the subsidiary of the firm, has been chosen to work with Cox Powertrain. The partnership aims to develop a production system that will be intended for a new diesel engine for boats.
The lightweight diesel outboard engine of Cox Powertrain is developed with backing from the Ministry of Defence. It has a power-to-weight ratio which means that it is able to hang on the stern of a boat while maintaining durability. It is considered to be the first professional diesel outboard engine of its kind.
QM Systems will immediately begin working on the project in order to develop a manufacturing system for the product. Reportedly, the said contract is worth in excess of £1.6 million to PipeHawk.
The shares in PipeHawk soared by 146 percent in afternoon trading.
Gordon Watt, the chairman of the company, stated: “This is wonderful news for the start of our new financial year and further demonstrates QM System’s ability to continually expand with the development of new partners into exciting industries. We are really proud that we have been selected by such a prestigious client in Cox Powertrain to become their partner of choice in this very exciting project.”