Business

Will Orbital Energy Group, Inc. (NASDAQ: OEG) TEC agreement promises higher road ahead?

Orbital Energy Group, Inc. (NASDAQ: OEG) investors are hopeful of this stock with its recently announced acquired subsidiary winning a huge fiber buildout project. The stock opened today with a 115.21% high. Gibson Technical Services has won a project of around 700-miles of facilitating construction and engineering turnkey services in Central Mississippi. The stipulated deadline for completing the project is by the end of 2025 for TEC of Jackson, Inc.

Initiation of project

GTS has kicked off the first phase of engineering of this project already in April 2021. Construction is scheduled to start this month. TEC capital and Rural Digital Opportunity Fund of Federal Government are used for building fiber across rural Central Mississippi. The huge project is a success of a newly acquired subsidiary, which is required to offer unique solutions, engineering, and dependability. TEC has maintained and invested as much as around 1,400 miles of fibers for the rural markets across the U.S. 

Project funding

Rural Digital Opportunity Fund or RDOF will extend Connect America Fund to the company for this fiber buildout. A total amount of $20.4 billion shall be extended over a period of another decade for broadband network support in rural communities. This is the first RDOF project underscoring rural builds, which kicked off in the U.S. 

Investors’ silver lining

The investors are soaking into this good news. Given that OEG is diversifying its energy services platforms with acquisitions of innovative companies, the visible results are also evident. Orbital Energy Group is trading at $7.64. OEG is promising to be a good investment for the long-term if you’re willing to haul it for at least a year. The long-term prognosis for OEG is on the positive side, with its acquisitions fetching promising results. The new fiber project that the company’s subsidiary bagged is to add more revenue to the company in the next five years. Investing in OEG is seemingly a good decision until this point. 

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