Tech: Boston casino deals puts a rocket under CCP shares
Link copied to
Internet of Things (IOT) company CCP Technologies Limited (ASX:CCP) has scored a victory in the US.
The company announced this morning that its smart-sensor temperature control technology would be deployed at a new casino site in Boston.
CCP said the deal would increase group revenues by around 10 per cent; an amount it didn’t classify as “material”.
However, the company was optimistic about the fact that it marks CCP’s first break into the huge US market.
Shares in CCP jumped by as much as 60 per cent in morning trade before easing back slightly.
Despite this morning’s surge, CCP’s share price is still well off its January 2018 high of 4c.
The company is looking to chalk up some wins after a steady run of losses, which included a pretty disastrous foray into crypto, key management changes and a effort to raise some more capital.
CCP scored the deal through Koolmax, its US distribution partner which provides refrigeration services of its own.
The company said the price-point for the sale would remain under wraps until installation was completed at the end of July.
Also remaining commercial-in-confidence (pending the installation) is the name of the casino in question, which requested that its name be held out of the announcement.
Casino operator Wynn Resorts, which owns the only gaming license in Boston, is set to open a US$2.6 billion casino in the city later this year.
CCP said it already received the purchase order and had arranged shipment of the relevant products.
It referred to the deal as a “defining commercial milestone that is anticipated to yield ongoing opportunities at other sites”.
Online gaming company eSports Mogul (ASX: ESH) came out of a trading halt and immediately jumped almost 30 per cent, after announcing its recent cap raise was heavily oversubscribed. It follows news last week that the company will provide an eSports gaming platform for the Alliance stable of online games (which includes Fortnite).
ESH said it received “overwhelming demand from domestic and overseas institutional investors”, along with its existing shareholders.
But it was a rough morning for camera operator Redflex (ASX: RDF), which provides red-light camera products and services to various government councils. The company has some chequered history in the US, where it recently settled a bribery case with the US Department of Justice.
Now RDF has been burned by a different regulatory problem; state legislation in Texas that just banned the use of photographic traffic enforcement systems. Shares in Redflex fell more than 30 per cent to 36c.