Shares of Sypris Solutions (NASDAQ: SYPR) are surging on Wednesday after it announced its subsidiary, Sypris Electronics, has recently received a follow-on award from a US DoD prime contractor to manufacture and test electronic power supply modules for a mission-critical, long-range, precision-guided anti-ship missile system.
The program is designed to meet the needs of U.S. Navy and Air Force warfighters, according to Sypris.
“This is a follow-on award for a new program that is currently ramping up into production volumes,” said Jim Long, Vice President & General Manager of Sypris Electronics.
“Our technical and operational experience in successfully scaling early life cycle products in a collaborative way with our customer were key to this win,” added Long.
There were no details regarding the terms of the agreement provided, but production is expected to begin in 2021.
Sypris’ share price has skyrocketed following the news, currently trading 96% higher at $5.26 after reaching highs of $7.74 earlier in the session.