Globe & Mail 11:05 AM EDT, 09/27/2021 (MT Newswires) -- Shares of EnWave Corp. (ENW.V) rose 5% on Monday after the Vancouver-based technology company signed a royalty license agreement with one of North America's largest cannabis producers on September 23.
Raymond James analyst Steve Hansen, who maintained an Outperform rating on EnWave shares, said the multi-state operator (MSO) in the U.S. is the same producer that placed a purchase of a large-scale 120 kW REV machine.
The Radiant Energy Vacuum will be used at the cannabis producers existing cultivation facility.
"Representing EnWave's second license agreement with a large MSO in recent months, we view this latest news as indicative of accelerating sales momentum as the company leverages robust third-party data that demonstrates the cost and quality benefits of its proprietary REV technology in cannabis drying," Hansen said in a note to clients. "We expect this momentum to continue."
EnWave's TSX Venture Exchange listed shares rose $0.05, or 4.9%, to $1.07 on Monday morning.