ASG firmer on new contracts

UPDATE 3.30pm: Shares in IT services provider ASG Group were higher after it announced an $11.3 million agreement with the WA Department of Housing, one of $86 million in contracts it had won or was close to finalising with a range of public and private sector customers.

Under the agreement, ASG will provide key components of the Department's managed services with potential to generate additional revenue through associated projects over the five-year contract term.

ASG said the contract with the Department was among $36 million in new deals that it had concluded in recent weeks, including a $14.8 million, five-year deal with the WA Department of Education for Oracle licenses and support services.

"ASG is close to finalising an additional $50 million worth of agreements across a range of customers nationwide as the preferred tenderer in exclusive negotiations, demonstrating its ability to leverage its unique offer of projects, managed services and New World Computing," the company said.

ASG also announced it had appointed Michael Large as its new chief financial officer to replace Stuart Whipp, who left the company suddenly in February as the company booked nearly $15 million in write-downs for the December half.

Shares in the company closed up 1.5 cents, or 4.48 per cent, at 35 cents.