Redwire Corp.'s stock surged 20.24% during intraday trading on Tuesday, marking a significant upward movement for the aerospace and defense technology company.
The sharp rise follows the company's announcement that it has been selected for the U.S. Missile Defense Agency's Scalable Homeland Innovative Enterprise Layered Defense (SHIELD) indefinite-delivery/indefinite-quantity (IDIQ) contract. This multi-vendor contract has a ceiling value of $151 billion and is designed to support homeland defense by enabling rapid delivery of innovative capabilities.
While the IDIQ contract is a multi-award agreement with no guaranteed revenue, investors reacted positively to Redwire's inclusion in this major procurement vehicle, seeing it as a substantial long-term business opportunity that leverages the company's expertise in space and defense technologies.
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