Tern (AIM:TERN) said its portfolio company, Device Authority ("DA"), has inked a new contract worth around £200,000 with one of the largest global automotive component and safety technology manufacturers, alongside its Technology Alliance Partner, nCipher.
The agreement will see DA and nCipher provide Internet of Things “IoT” security solutions to the Client by way of a Key Management Solution. DA's KeyScaler platform is at the center of the Key Management Solution and nCipher will provide the Hardware Security Modules.
The unnamed client will secure generate and import keys from Original Equipment Manufacturers before storing and distributing the keys to their remote manufacturing lines for injection into their electronic automotive components on the production line.
Shares in Tern have recovered from lows of 3.61p during the onset of the COVID-19 pandemic and opened at 6.9p on Thursday morning following the announcement.
"This is an important contract for DA which validates the superiority of its technology and its use in the automotive sector,” said Al Sisto, Chief Executive Officer of Tern.
He added, “The current COVID-19 pandemic has accelerated the technology trends that we were already observing in the industrial sector and with increased automation comes a much higher need for best-in-class security solutions.
Through our investment in DA, which is partnered with leading players such as nCipher, PTC and Microsoft, Tern is ideally placed to capitalise on this."
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