STEng – BT
ST Engg unit wins 1st military contract
ST Engineering said yesterday its indirectly-owned subsidiary VT LeeBoy Inc has been awarded its first military contract.
VT LeeBoy has secured a contract worth over US$11 million from US Army Contracting Command to supply asphalt paving equipment to the US Army over five years.
This contract marks the first step in the special vehicles unit supplier’s attempt to diversify its customer base during the downturn.
‘The contract award from the US Army recognises the quality and overall value that LeeBoy’s products deliver and, hopefully, it will enable LeeBoy to break into foreign military sales as well,’ a company spokesperson said.
The agreement is not expected to have a material impact on the group’s consolidated net tangible assets per share or earnings per share for the current financial year.
VT LeeBoy is a wholly-owned subsidiary of VT Systems, which in turn is a wholly-owned subsidiary of ST Engineering.
ST Engineering’s stock closed three cents higher at $2.55 yesterday.