React wins contract with 'major' facilities management group

React Group has been awarded a £0.2m contract with a "major" facilities management company covering the provision of cleaning services at a London hospital.

The AIM-listed provider of rapid response deep cleaning and emergency decontamination services said the contract has an initial 12-month term, with possible extension to be agreed between the parties thereafter. It begins in mid-September 2017 and so will largely impact the group's performance in the financial year ending 30 September 2018.

React said this service is a departure from the company's normal day-to-day fast response service, taking it into a new marketplace and hopefully allowing the group to make approaches and market itself to other facilities management and hospitals throughout the UK.

Chairman Gill Leates said: "I am delighted for the company and the team who have put in a huge amount of hard work to a very high standard, proving their capabilities in this area over the past few months."

Also on Monday, React announced that Mark Collingbourne, executive director, has tendered his resignation. He will leave the board on 11 September 2017 "in order to free up time for other growing business interests".

The company has appointed an interim chief finance officer to report to the board on all financial matters, pending the identification and appointment of a board appointment.

At 0925 BST, the shares were up 11% to 0.56p.