The Fluence Corporation Ltd (ASX: FLC) share price was trading up 6.5% today although the broader market or S&P/ASX 200 (INDEXASX: XJO) was only 0.1% higher.
About Fluence Corp
In 2017, water treatment providers Emefcy and RWL merged to create Fluence Corporation. As a combined company, Fluence is attempting to solve the world’s water issues through the use of its desalination technology.
Fluence wants to become the international leader in both centralised and decentralised water and wastewater treatment.
More Orders, New Supply
The catalyst for Fluence’s share price rise today appears to be two separate updates, one released yesterday and another today.
Yesterday, Fluence said it had received an order for five NIROBOX from a customer in the Middle East as part of, “an emergency application for drinking water.”
Nirobox is a smaller version of a traditional water treatment plant.
In a second statement Fluence released another piece of material news which appears to have boosted the share price.
Fluence said it has signed an “investment cooperation agreement” with the Chinese government (Xinglongtai District) which makes Fluence the preferred supplier of wastewater treatment equipment for Liaoning Huahong New Energy.
Although the company flagged these updates as “market sensitive” it did not provide specific detail on the value of these developments.
Ivory Coast Update
Also in today’s ASX release Fluence tucked on an update for its €165 million Ivory Coast project.
“Although not a party to the Agreement, Fluence understands that financial close is now expected to occur during Q4 2019 (and not by the end of Q3 2019 as previously disclosed).”
While that sounds a little concerning for investors, it’s a big project for Fluence and the company added that, “such [a] shift in timing is not expected to have any impact on Fluence’s ability to recognize up to US$20 million of revenue in Q4 nor on achieving sustainable EBITDA profitability.”
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Disclosure: At the time of publishing, the author of this article does not have a financial interest in any of the companies mentioned.
