UPDATE 2.30pm: Shares in IT services provider ASG Group rose after the company announced a new contract with Clough that is expected to generate $7-$9 million in revenue a year.
ASG said the contract with Clough was among $76 million in new multi-year agreements that ASG had concluded since June, including a five-year $11.3 million deal with the Department of Housing and a five-year $14.8 million contract with the WA Department of Education.
The company also announced it was on the verge of signing additional deals.
The Clough agreement is for a comprehensive range of utility IT services, including New World computing and a full ERP SaaS solution.
"The partnership will transition Clough from its traditional insourced model to a more efficient, fully scalable, utility-based model that's aligned to business outcomes," ASG said.
Managing director Geoff Lewis said the Clough agreement followed ASG's significant investment in New World computing in the past few years.
The deal was also expected to result in costs savings for Clough.ASG shares closed up five cents, or 12.99 per cent, at 43.5 cents.