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Shares in Newmark Security (LON:NWT) rose 6% after it revealed that its Safetell arm had renewed a £2.5mln service and maintenance contract.
The name of the customer wasn’t revealed, although Newmark said it was a large UK financial institution.
Safetell supplies bullet resistant glass and anti-attack screens used in banks as well as other security products such as safes, CCTV systems and cash trays.
Chief executive Marie-Claire Dwek said: "Today's contract renewal reaffirms Safetell's established product and services range and ability to supply for the multinational blue chips.
“We have supplied this services directly to the financial institution for the last three years and we are delighted to be working with them and the tier-one contractor on this particular contract through to 2019."
The stock, up 68% in the year to date and 85% in the last year, rose a further 6.45% in morning trade to 3.22p, valuing the business at £14.6mln.
As well as Safetell, Newmark owns Grosvenor Technology that provides electronic security, access control systems and workforce management tools.
Last year the two businesses turned over £19.2mln and posted a pre-tax profit of £1.8mln before exceptional items – which was in line with forecasts.
However, it is fair to say the performance is not reflective of Newmark’s long-term potential and CEO Dwek believes there is the opportunity to build a larger, more diversified business.
Senior sales hires from blue-chip firms such as Tyco and Honeywell are helping implement the growth strategy.
The obvious opportunities are self-generated. So, there are cross-selling opportunities and there is also a plan to find a larger potential market for its one of its flagship products - SATEON - sold via the GTL electronics division.
This is a 100% browser- based access control application, which means users don’t need to install any software onto their PCs to use it.
The plan is to create a mid-market version of SATEON that appeals to a wider cross-section of customers.
The group has cash - around £2.7mln on the balance sheet at the last update - while the banks have said they may help fund deals, the CEO reveals.
Newmark is in the process of recruiting a chief technology officer, who will help identify opportunities.
Finally, there is also the opportunity to take the various product offerings overseas, which would open lucrative new markets.