Update (4:22 p.m. EST): Updated with closing price, day high and low prices, price change and volume information.
NEW YORK (TheStreet) -- DragonWave Inc. (DRWI) surged 23.24% to $1.75, up 33 cents from its previous close of $1.42, at the close of the trading day on Wednesday after the company announced the signing of a strategic sales agreement with Xi'an Potevio Communications.
The stock had a volume of 4,051,795, more than five times more than its average of 731,478. it hit a high of $1.81 and a low of $1.51 for the day.
DragonWave, which supplies packet microwave radio systems for mobile and access networks around the world, teams with Xi'an Potevio, an ICT subsidiary of China Potevio Corporation, in order to sell and distribute DragonWave services throughout China. Xi'an Potevio has made initial deliveries of Horizon Compact, all-outdoor radios to a major mobile services provider in China as part of the agreement. The company will also increase its marketing of Horizon and Harmony microwave radios.
"After much due diligence seeking the most reliable and efficient solutions to address the country's growing need for carrier grade microwave solutions, we've selected DragonWave for its advanced technology and proven performance," said Zhong Fu Sheng, the General Manager of Xi'an Potevio Communications in a statement. "The combined Horizon and Harmony portfolio allows us to address any number of deployment scenarios needed to advance and maintain exceptional service and to meet growing capacity demands across a broad range of markets."
TheStreet Ratings team rates DRAGONWAVE INC as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation: