Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Validian Corp. (VLDI.OB) Announces Sale to U.S. Regional IT Company

Yesterday, Validian Corp. announced the sale of its Validian Protect product to an anonymous U.S. based IT/Accounting Services company.

Validian Corporation, a producer of technology that provides secure access, storage and transfer of data on wired, wireless and mobile internet, among other data transfer and internet tech and services, has offices in the U.S. and Canada.

The company that purchased Validian Protect wishes to remain anonymous due to its work on U.S. Government and corporate IT accounts. They have made an initial payment of $156,000 towards the license fee for the installation of Validian Protect product.

Validian expects this initial sale to expand to more support, leading to additional sales to the clients of the IT firm that bought the product initially. The funds have been reported by Validian as deferred revenue, and will be booked as revenue when the IT firm tests the initial installation. Delivery of the product is expected to occur in the first quarter of 2011.

Validian expects that this sale will provide a large portion of the revenue for its 2011 cash flow breakeven goal of $700,000. Investors are supporting the company to increase revenue growth. During the economic downturn, Validian has remained active in the development in new products in anticipation of the need for an increase in protection of digital assets. The company is expecting to make more announcements along these lines soon.

Please see disclaimer on QualityStocks website:

Disclosure: no positions