logo
  

Avon Protection Reveals U.S. Defense Logistics Agency's Body Armor Contract; Stock Up

Shares of Avon Protection plc (AVON.L) were gaining around 6 percent in the early morning trading in London after the maker of life-critical respiratory and ballistic personal protection systems Friday announced the U.S. Defense Logistics Agency or DLA's body armor contract.

DLA has exercised the first of the two one-year extension options under the DLA Enhanced Small Arms Protective Inserts or ESAPI body armor contract.

The exercise of the initial option extends the contract to September 22, 2022 and triggers a minimum order value for the option year of $19 million.

The exercise of the option also triggers a further $3 million of contingent consideration payable to 3M under the terms of the acquisition of the Ceradyne ballistic protection business.

The total contingent consideration payable to date would be $7 million. Additional contingent consideration will become payable on receipt of further orders in excess of the minimum order value of $19 million. The maximum total contingent consideration payable to 3M would be $25 million.

Formal product approval for the DLA ESAPI body armor is expected to be received during the first quarter of 2022 financial year, with initial shipments expected during the second quarter.

In London, Avon Protection shares were trading at 2,034 pence, up 5.50 percent.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Ontario, Canada-based Erie Meat Products Ltd. is recalling approximately 1,224 pounds of fully cooked chicken bologna products, according to the U.S. Department of Agriculture's Food Safety and Inspection Service or FSIS. The chicken bologna products were imported and distributed into the United States without the benefit of FSIS import reinspection. The U. S. Food and Drug Administration or FDA has issued a public health alert against Fulvic Care Powder and Tablets from Ontario, Canada -based Black Oxygen Organics due to elevated levels of lead and arsenic. The agency advised consumers not to use Fulvic Care Powder and Tablets from Black Oxygen or give the products to pets due to elevated levels of lead and arsenic. Alexander & Hornung, a business unit of Perdue Premium Meat Co., Inc., is recalling around 234,391 pounds of fully cooked pork products citing possible contamination with Listeria monocytogenes, the U.S. Department of Agriculture's Food Safety and Inspection Service or FSIS announced. The recall involves ham and pepperoni products that come under various brands and produced on various dates.
RELATED NEWS
Follow RTT