Last week, shares of NuRAN Wireless (CSE:NUR) (OTC:NRRWF) saw increased trading volume as the Company announced much anticipated developments to investors. Shares rallied by 20% on the back of a corporate update and the announcement of a contract valued at $4 Million, that is imminently going to be signed by the Company. The contract is from an undisclosed mobile network operator (MNO) to act as a supplier of a mobile infrastructure for a small network expansion. This $4 Million dollar contract is, in our opinion, in the final stages of being completed given that the Company stated that all technical and commercial aspects have been addressed. All that remains is the contractual agreement which is currently pending and is expected to be announced imminently.
In January NuRAN Wireless announced that the company has secured a conditional trilateral sales agreement with SpaceCom, the operator of AMOS Satellite and another undisclosed mobile network operator. This agreement could generate $9 Million in sales over a period of 12 months and up to $90 Million over the lifetime of the scale up. This project is conditional on the mobile operator obtaining financing. The Company has stated that the financing for this project is yet to be confirmed but substantial progress has been made.
Once finalized, these two contracts will generate revenues worth approximately $13 Million or almost 2 times more than the total value of the company’s current market cap of only $7 Million.
In the same announcement, NuRAN said that they have been working on field trials with a mobile network operator in Kenya which was previously announced in November 2018 , where both companies will perform a field trial of LiteRAN 2G, NuRAN’s leading mobile network for rural connectivity. The field trials in Kenya were supposed to be completed during Q1 of 2019 due to scheduling delays resulting in nation-wide network issues. Although delays have occurred, NuRAN has completed a large portion of the trial and they anticipates completing the remainder of the trials as early as Q3 of this year.
Under the new mobile network enabler (MNE) model, where they offer a turnkey service to clients, NuRAN has also been in advanced discussions with a large MNO on significant business opportunities using this specific model. Launched in October 2018, the MNE model is aimed at facilitating network rollouts for mobile network operators by providing them with a zero-CAPEX, as-a-service (aaS) infrastructure solution. These advanced discussions appear to be new developments arising from the company’s new MNE model. Once completed, this catalyst could fuel shareholder growth.
Furthermore, NuRAN Wireless has also announced that the company is actively engaged in numerous opportunities. Stating proposals have already been sent and are currently pending selection and/or negotiation. The management team is confident that the company is well positioned to be awarded such contracts in the next few months.
With opportunities such as current field trials in Kenya, advanced discussions with large MNO’s for the company’s MNE model and two immense contracts totaling $13 Million underway, we believe that NuRAN Wireless is gearing up for a tremendous year of growth.
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