LONDON (Alliance News) - Mortice Ltd, a security and facilities management company, said Thursday its unit Tenon FM has lost a competitive bid for its existing contract with University College of London.
Shares in the company were down 11% at 19.50 pence each following the news.
The UCL contract represented 18% of the company's UK revenue. The contract was due to expire on October 31 and was up for renewal.
Mortice lost the bid to a large multinational company. It remains confident to recover the contract loss soon with various business activities currently in the pipeline. The company expects a return to like-for-like growth from its UK operations in the medium term.
"The UK market is experiencing tough trading conditions. The group is taking significant corrective action in order to ensure a more profitable and sustainable margin in this changing and challenging environment," Executive Chairman Manjit Rajain said.
