The Archtis Ltd (ASX:AR9) share price has rocketed today as the company announced a landmark deal with the Australian Department of Defence. The Archtis share price soared 25% higher to 52.5 cents in early afternoon trade before dropping back to 50 cents at the time of writing.
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What Archtis does
Archtis is a Canberra-based cyber security technology company that specialises in the safe design and development of cloud based, secure information management and collaboration software. Since its establishment in 2006, the company has provided cyber security consulting and infrastructure and software development services to Australian government clients.
In a bid to commercialise its services, Archtis launched its software-as-a-service (SaaS) Kojensi platform last year to service government, defence and commercial clients.
Landmark contract win for Archtis
Archtis's share price was sent flying today as the company announced a $4.2 million deal with the Australian defence department. It includes three licences of the Archtis Kojensi platform and will be used to perform risk reduction activity for multinational information sharing and cross domain services. The risk reduction activity will be conducted over the next 12 months. It will include development, building and accreditation activities to provide defence.
Furthermore, it will provide an information-sharing architecture pattern for cross and multi domain services between different allied partners. Thus the contract has the potential to springboard Archtis into prominence as its product will be shared with other large allied nations.
This is the company's largest contract to date, reflecting its growing maturity and the defence force's commitment to investing in premium sovereign information security capabilities.
Archtis CEO Daniel Lai said:
I am delighted that Archtis has been selected to lead this risk reduction activity. The need to share, control and trust information in the warfighter domain, between forces and with allies remains a critical requirement and archTIS is well-positioned to deliver on this.
What now for the Archtis share price?
The Archtis share price has performed exceptionally well this year to date with the growing awareness around cyber security providing a strong tailwind. Archtis's share price is currently up 300% so far this year.
