Immedia surges on contract win

AIM-listed Immedia has signed a new five-year service contract with an unnamed “major global brand” for the supply of branded in-store music and marketing channels for an undisclosed sum.

Immedia, which supplies digital audio content solutions, will provide services to its substantial operations in the UK and in Europe and provide in-store equipment to facilitate delivery of the service.

The company will receive an annual subscription fee per site. Under the agreement, it is also exclusively responsible for the production of language specific marketing content, at contracted prices.

In addition, revenue will also be generated through the supply of Dreamstream decoders, which are required by every store subscribing to the service. These services will mark Immedia's entry into a new retail market.

“The board of Immedia expects significant 'take up' of the service, which will build up into the next financial year as the service is rolled out across both existing and new stores.”

At 1553 BST, Immedia shares were up 64% to 24.65p.