Leonovus (TSX-V:LTV) has made good on the promise of its storage software, announcing Thursday it has broken a long revenue-free streak by landing a big six Canadian bank as a new customer.
The Ottawa-based firm said in a release that it had converted a 10-month proof-of-concept project with a large, unnamed financial institution into a contract.
Leonovus develops software that “shreds” client data before encrypting and storing the information across a hybrid system of cloud and on-premise servers – a process it says increases the security of stored data.
OBJ360 (Sponsored)
Giving Guide: Foundation Sante Bruyere Health
What we do Bruyère Health is Eastern Ontario’s leading health organization specializing in aging, rehabilitation, and care for those with multiple complex medical conditions. We bring together compassionate, person-centred care
Giving Guide: Big Brothers Big Sisters of Ottawa
What we do Big Brothers Big Sisters of Ottawa (BBBSO) enables life-changing mentoring relationships to ignite the power and potential of young people facing adversity. We carefully and intentionally place
The company tested its solution in the bank’s technology test labs for nearly a year and will now move into a live deployment with the customer data.
“I would like to give kudos to the entire Leonovus team for the speed at which this project closed. To close an enterprise customer of this size from POC to production in ten months is extraordinary work,” said CEO Michael Gaffney in a statement.
Landing this customer is a significant milestone for Leonovus, which has undergone a technical reinvention in the past year. After tripling its headcount and posting a net loss of $1.2 million this past quarter, the firm said it expected to resume bringing it revenues in Q3. The company added then that it has an additional 50 proofs of concept currently live, including pilot projects with the federal government, all of which it expects to close.
Shares of Leonovus were up three cents, an increase of 16 per cent, on the TSX Venture Exchange Thursday.
