Redcentric Share News (RCN)

Redcentric, the AIM-listed end-to-end managed service provider has signed two new managed service contracts with combined revenues worth more than 6.0m pounds. The company said that it would provide managed services, networking and connectivity to a property developer in a new three year contract with the deal being worth approximately £4.7m in revenue over the course of the contract. While most of this revenue would fall outside the current financial year this type of contract would contribute significantly to Redcentric's annuity base, it said. In addition, the company reported that an existing governmental customer had extended its managed services contract with Redcentric for an additional year in an an extension worth £1.2m. Redcentric also signed a further managed service contract with the same customer for £300,000 to support additional elements of their environment including troubleshooting support and hardware maintenance. Fraser Fisher, Chief Operating Officer of Redcentric, commented: "Both contracts clearly demonstrate the strength of the Redcentric proposition: annuity revenue from a mix of services, fully managed by Redcentric and underpinned by our consultancy services. These contract wins demonstrate that our approach is appealing to new and existing customers alike."Redcentric' share price was up 3.37% to 92p at 11:14 on Thursday.MF