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Cohort up on win

The defence contractor continues to profit from its close ties to the Ministry of Defence.
October 22, 2014

Cohort's (CHRT) shares jumped 5 per cent on news that its advanced surveillance systems and software business, SEA, has been awarded a £23m contract by BAE Systems to provide its External Communications System (ECS) for the entire Royal Navy submarine fleet. The contract covers long lead procurement out to late 2016 and design activities to March 2015.

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SEA is already under contract from BAE Systems to provide ECS, which allows new communications equipment to be fitted faster and cheaper than earlier generations, for five Astute-class submarines.

Cohort’s chief executive, Andrew Thomis, says the latest deal has helped improve revenue visibility and reckons a further significant order for ECS on Royal Navy submarines is expected next year.