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Downgrade and UAE contract hit NetComm

The wireless equipment maker is having trouble catching a break. The stock has fallen around 40 per cent in two weeks due to an ill-timed contract win in the United Arab Emirates and perceptions that the company has gone ex-growth.

The wireless equipment maker is having trouble catching a break. The stock has fallen around 40 per cent in two weeks due to an ill-timed contract win in the United Arab Emirates and perceptions that the company has gone ex-growth.

Management announced on November 17 that it had won an initial $1.8 million contract for its third-generation routers from UAE’s telecom giant Etisalat, shortly before debt-laden sovereign wealth fund Dubai World sent shivers across global markets by requesting a standstill agreement with its creditors.

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    Original URL: https://www.afr.com/markets/downgrade-and-uae-contract-hit-netcomm-20091130-iwd9q