Applabs Technologies (ASX:ALA) holds a strategic 7.9% interest in Liberty Resources (ASX:LBY), which has exercised an option to purchase 100% of the issued capital of Cirrus Networks.
Cirrus is a Western Australian information technology solutions provider.
LBY shares were up by over one-third today, valuing the company at circa $5.5 million.
The company continues to rapidly grow its revenue book, and has closed around $4.6 million in new contracts in the March 2015 quarter alone.
Patrick Glovac, managing director for Applabs, commented:
“Applabs wishes to congratulate Liberty and Cirrus on these strong results. We believe the strong growth in Cirrus further reinforces Applabs’ investment model and ability to identify quality investments."
Cirrus contracts with blue chip clients include:
- $2.1m - EMC storage contract with Western Australia’s largest locally operated bank;
- $1.75m - iiNet’s VMware Enterprise Licencing Agreement; and
- $750,000 Curtin University’s next generation Palo Alto security solution.
Cirrus Networks unaudited revenues for FY2014 totalled $5.86 million, and the company expects significant growth to continue with a strong sales pipeline and expansion into new industries.
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