After an initial spark higher, Cirata PLC (AIM:CRTA) shares slipped 1.3% in early trading despite the data integration group announcing the biggest IBM deal in its history.
The company has secured a $6.7 million, three-year contract to supply its Big Replicate technology to a financial services client through IBM’s existing OEM sales agreement.
The deal will see Cirata’s software used to support the customer’s data integration needs, deepening the company’s foothold in the financial services sector and tightening its long-running partnership with IBM.
Management said the contract marks a significant expansion of activity under the OEM arrangement and underlines the growing relevance of Cirata’s platform for institutions handling large, mission-critical data workloads.
For Cirata, which has been working to reassert its growth credentials, the agreement is a clear commercial win. Investors, however, appear to be weighing the long-term boost against the company’s recent share price volatility.
The shares were changing hands for 19p.