Shares of Ramco Systems were surging on Wednesday after the aviation software specialist inked a multimillion-dollar deal with Korean Air, Korea’s largest airline, for technical support at its new engine maintenance complex.
What Happened: Ramco’s aviation software will replace multiple legacy systems to streamline operations across current engine shops and planned expansion sites, the firm said in an exchange filing.
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This agreement follows Korean Air’s announcement of constructing its engine maintenance, repair and overhaul (MRO) facility in Unbuk, near Incheon International Airport. The facility is expected to be Asia’s largest engine maintenance plant, consolidating all engine MRO capabilities into a single cluster.
Ramco stated that its engine MRO solution will support the airline’s current and future expansion plans, enhancing its aircraft engine maintenance capabilities and strengthening its position in the segment.
The announcement helped the small-cap stock halt its two-straight-day losing streak. In the past year, shares of the company have gone up around 50%.
Price Action: Ramco System’s share price shot up 20% to ₹340.90 around noon. The stock has climbed 13% so far this year.
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