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Remote tracking technology company Starcom said that it had terminated a supply contract with Xplosive Solutions in South Africa.
The company had announced in February a revised agreement over a three-year period with Xplosive for the supply of units intended for use in the protection of cattle.
'Although a limited number of initial goods were shipped under the revised agreement, it has become apparent to the company that Xplosive is unable or unwilling to continue with the contractual arrangements for local reasons,' Starcom said.
'Despite attempts by the company to find a solution to these problems, the directors of Starcom now consider this contract to have been terminated and no further action will be taken with regard to it.'
Anticipated revenues over the three-year period would have been around $500k.
'Notwithstanding the termination of this agreement by Starcom, the directors still anticipate that trading for the current year will be in line with current market expectations and that the company will achieve revenue growth over the previous year', Starcom said.
At 9:42am: (LON:STAR) Starcom PLC share price was 0p at 1.3p