XTEKs HighCom Subsidiary Receives US$33.21m (A$46.8m) Order
Key highlights:
• Purchase Order for urgent supply of specialist ballistic armour worth US$33.21m (A$46.8m)
• Multiple shipments scheduled for delivery over coming weeks
• Ballistic armour contracts since 1 March 22 now total A$64.4m
• Total Group new contracts since 1 March 22 now exceeds A$69.5m
• Group continues to pursue multiple large scale local and international supply opportunities
Friday 27 May 2022: XTEK Limited (ASX: XTE, ‘XTEK’, ‘Group’) is pleased to announce that the Group’s
HighCom Armor Solutions Inc. (HighCom) business has received a significant new Purchase Order from an
undisclosed international customer to the value of US$33.21m (A$46.8m)
While the specific details of the order remain confidential, a key term of this contract called for the full
prepayment of the entire (A$46.8m) contract value, and XTEK can confirm that this has now occurred.
Additionally, the Group can confirm that the contract’s scope of supply is for many tens of thousands of individual
advanced ballistic protection items, which will be manufactured in our Columbus Ohio facility.
Our HighCom logistics team has been working hard to source and secure the guaranteed supply of the raw
materials needed to fulfill this large order from our suppliers in the US and Europe, and our expectation is that
~40% of this order will be delivered by end of FY2022, with the remainder being delivered in Q1 FY2023.
This order takes the Group’s total new order bookings since 1 March 2022 to more than $69.5m, and the
Ballistics Division’s new orders specifically in that time to $64.4m.
The Group continues to field a large volume of inbound enquires for our specialist high performance armour
products, and our international sales and business development teams are engaged with many overseas
organisations and agencies to develop potential supply contracts to meet their urgent operational needs. Given
the ongoing uncertainty of the current heightened global security environment, the Group does not see any
reduction in enquiries occurring for the foreseeable future until these global tensions are resolved.
Scott Basham, XTEK Group CEO, said,
“From its advanced manufacturing capabilities in Columbus and Adelaide, HighCom produces the full range of
specialist high-performance hard armour plates, soft armour inserts, ballistic helmets, vests, carriers, pouches,
and other sewn goods, for use by military, law enforcement, and first responder customers all around the world.
This transformational new US$33.21m / A$46.8m order, will see tens of thousands of HighCom’s advanced,
high performance, specialist ballistic protection products deployed to meet our international customer’s
immediate and ongoing operational needs. The first bulk shipment of items will be dispatched in coming days,
and the business is fully committed to delivering the remaining batches of these life-saving products as quickly
as possible over the coming weeks. We continue to engage deeply with this, and other local and international
customers, to assist them to resolve their urgent ballistic armour supply needs.”