SimiGon wins USD8m civil aviation contract

3rd May 2016 09:23

(ShareCast News) - Simulation software specialist SimiGon has won a $7.9m, five-and-a-half-year contract to provide its SIMbox training software and services to a major civilian aviation training provider in the Far East.SimiGon will be paid a minimum of $1.4m per year, starting in 2016, though the company said the contract was already factored into management's expectations for the current calendar year.President and chief executive Ami Vizer said: "This contract is part of SimiGon's strategy to focus on long-term, high value, stable license contracts which provide better revenue and profit visibility rather than on single lump sum license sales."The contract widens the company's non-defense industry revenue and, it said, underlined the potential for the software to access a much larger addressable market, notably other civilian aviation industries, a sector that management believe has significant growth potential.Shares in SimiGon were up 31% to 22p by 1025 BST on Tuesday.