React Group Shares Jump On Multi-Year Contract Win

React Group shares jumped Thursday on the back of news it has been awarded a multi-year contract for deep cleaning, window, and façade cleaning across around 350 mainland UK locations for a high-street fast-food chain.

React Group shares are up more than 7% at the time of writing. The stock is down more than 20% over the last year but has managed to climb 33%over the last three months.

The agreement is expected to run for two years, with the value of work in the current financial year, ending September 30, 2023, estimated to be approximately £0.8m.

There will be up to two deep cleans per year, with the work fulfilled by a “team of skilled resources” from all three divisions of the React Group — LaddersFree, Fidelis, and REACT.

The company explained that the contract win resulted from cross-selling React’s complementary service offerings to an established customer of its LaddersFree commercial window cleaning business, which it acquired in May 2022.

“This contract award highlights the value of the Group’s ability to deploy consistently high standards of specialist cleaning across multiple sites in the UK,” said Shaun Doak, Chief Executive Officer of React.

“It comes as a result of combining the quality of the relationships that LaddersFree has with its customers, with the strength of expertise and consultative approach to deliver effective, cost efficient specialist cleaning services, offered across the Group.”