CEA Pops on New Contract

Colorado-based CEA Industries Inc. (NASDAQ: CEAD) noticed its shares climb sharply early Tuesday. The company a leader in controlled environment agriculture (CEA) systems engineering and technologies, today announced that its subsidiary, Surna Cultivation Technologies LLC, has signed a contract with a client of its previously announced partner, Merida Capital Holdings. The contract is incremental to Surna’s announced backlog of $9.7 million as of August 11.

In June of this year, the Company announced it had entered into an agreement with Merida in which Merida agreed to use the Company as its sole provider of certain products and services for Merida’s indoor cultivation facilities.

“Surna has had success as Merida’s go to provider of products and services for their indoor cultivation needs on several projects,” stated CEO Tony McDonald,

“We are excited to further advance our partnership with Merida with the undertaking of this new project and we look forward to growing our relationship with the success of each of Merida’s client engagements.”

Surna will be providing a suite of HVAC systems for the Connecticut-based client. The systems include Surna’s EnviroPro™ air handlers, as well as heat recovery fan coils, dehumidifiers, humidifiers and circulating fans.

Surna has previously provided mechanical engineering services for the client.

CEAD shares galloped 9.5 cents, or 9.3%, to $1.11.