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OTT-ONE signs HUF 1.9 bln digital services contract

Listed firm OTT-ONE said Monday it has signed a contract to provide IT and digital security services worth a net HUF 1.9 billion. OTT-ONE said it will deliver the services to a Hungarian company, but did not disclose the name of its partner, citing business confidentiality.   

About half of the revenue from the contract will be realized in the current business year, the company was cited as saying by state news agency MTI. The contract is OTT-ONEʼs biggest ever and is well over its revenue for 2018 as a whole, which public records show came to HUF 1.7 bln.

In a separate announcement Monday, OTT-ONE said it is raising the number of shares it wants to offer in an auction to 5 million. In June, OTT-ONE said it would auction 3 mln shares.

OTT-ONE is standing by its minimum price of HUF 250 per share in the auction, which is expected to take place in the autumn, after approval of the prospectus by the National Bank of Hungary (MNB).   

OTT-ONE says it wants to use the proceeds to finance growth and - if HUF 100 mln of the shares are sold - to move its shares from the bourseʼs Equities Standard into the Equities Prime category.