D13 to receive awareness push from $245 million Parsons contract
Department 13 (ASX:D13) has opened up on the value of a contract between Parsons and a US Naval Research division – but says it’s hard to tell how much of the cookie may crumble to D13.
The ASX-listed company had previously told the market of an agreement stitched up with Parsons, which is a privately held company with annual revenue upwards of $3.2 billion.
Parsons has been selected to provide indefinite-delivery, indefinite-quantity (IDIQ) services to the US Naval Research Laboratory Information Technology Division (NRL-ITD) – focusing in seven fields including:
- Computing and data storage;
- Information and artificial intelligence;
- Man-machine interfaces;
- Operational Information Technology and;
The contract has a term of five years and is worth $US245 million ($A322 million) – with D13 selected as a key sub-contractor to Parsons.
D13 will be supplying Parsons with proprietary patented network communication technologies.
While this is the first time D13 has spelled out the overall value of the Parsons contract, it says it is hard to gauge how much money may end up flowing D13’s way.
With the amount of revenue flowing to D13 uncertain under the contract, investors should seek professional advice before investing.
The deal, however, does grant D13 exposure in the space as possibly providing tech which will be used by a branch of the US armed forces – a massive coup for D13.
It said that it should be able to report revenue from the Parsons contract in quarterly releases to the market.
D13 has quickly gained a reputation as a so-called ‘drone hacker’.
It has developed, among its suite of technologies, a way to bring down unmanned aerial vehicles by effectively hi-jacking the signal between operator and drone in order to bring the UAV down safely.
As a way of proving its concept and validating its technology, D13 will be showcasing its abilities along with seven other drone security companies at the MITRE CUAS Challenge at Marine Corps Base Quantico in August 2016.
Later in the year in September, D13 will take its wares to Florida, to demonstrate the effectiveness of MESMER at BlackDart, the DoD’s specialised ‘Counter UAS Test Range’ in Florida. As an event, BlackDart was created to attract the best technological solutions to drone defence, with dozens of entrants each year.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.