FREMONT, Calif. - Actelis Networks, Inc. (NASDAQ: ASNS), known for its cyber-hardened networking solutions, has secured an order to supply a municipal utility company in a major German city with its hybrid-fiber networking solution. The deal, which was announced today, marks a continuation of the company’s expansion into smart city infrastructure.
The order, placed through a local German partner, represents part of a broader project aimed at bolstering the telecommunications backbone of critical municipal services such as electricity, natural gas, and water.
Actelis' technology will enable the utility company to leverage existing copper or fiber infrastructure to achieve gigabit speeds, essential for connecting IoT devices like monitoring sensors. This connectivity is crucial for analyzing system performance and ensuring the reliable distribution of services.
Actelis' solution also emphasizes security, featuring strong encryption to safeguard against cyber threats that could compromise energy and water distribution systems. Tuvia Barlev, Chairman and CEO of Actelis, expressed pride in the company’s role in enhancing the security and efficiency of cities worldwide.
The company’s advanced management software and cyber-protection capabilities have been instrumental in aiding numerous German energy sector entities to improve their operational capabilities and service delivery.
Actelis Networks, Inc. is recognized in the market for its rapid-deployment networking solutions that cater to a wide array of IoT applications across various industries, including government, transportation, military, and utilities.
The information in this article is based on a press release statement.
In other recent news, Actelis Networks has secured substantial orders, including a $300k order for an Italian transport project and orders for three U.S. military bases. The company's networking solutions will be used for traffic monitoring, surveillance, and law enforcement applications in Italy, while the military bases will implement Actelis' cyber-hardened technology.
Actelis has also entered into a partnership with Carahsoft Technology Corp. for public sector distribution in the United States and Canada, expanding its reach in the government sector.
In financial developments, Actelis has initiated an immediate exercise of outstanding warrants, projected to generate approximately $3 million in gross proceeds for general corporate purposes. The company also plans to acquire a majority stake in Quality Industrial Corporation, a Dubai-based company specializing in industrial and energy solutions. This merger is expected to create a combined entity with a proforma revenue of $17 million in 2023.
These recent developments emphasize Actelis Networks' continued growth and expansion, with its networking solutions being increasingly adopted in various sectors, including transportation, military, and government.
InvestingPro Insights
Actelis Networks, Inc. (NASDAQ: ASNS), despite its recent deal securing an order with a German municipal utilities company, shows signs of financial strain. InvestingPro data indicates a market capitalization of $7.41 million, underscoring the small size of the company within the industry. This is particularly relevant when considering the scalability and financial stability required for large-scale projects in smart city infrastructure.
An InvestingPro Tip suggests that Actelis Networks has been quickly burning through cash, which raises concerns about the company's ability to sustain long-term projects without additional financing. Moreover, with a significant revenue decline over the last twelve months, as evidenced by a -49.11% change, the company's financial performance appears to be under pressure.
Despite these challenges, it's worth noting that Actelis Networks has experienced a strong return over the last month, with a 203.53% increase in the 1 Month Price Total Return as of mid-2024. This could indicate a positive market reaction to recent company developments or strategic moves.
Investors looking for a deeper dive into Actelis Networks' financial health and future prospects can find additional InvestingPro Tips. There are 11 more tips available, which provide insights into aspects such as stock volatility, short-term obligations, and valuation implications on free cash flow yield. To explore these further, visit https://www.investing.com/pro/ASNS and remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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