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New contract wins help iomart Hosting rise into the cloud

20th September 2010 · Press Releases

iomart Group plc (AIM:IOM), the managed hosting and cloud computing services company, has continued to generate strong organic growth, particularly in its iomart Hosting business, where it is currently adding 30 – 40 contracts per month from both new and existing customers.

These wins include several large and complex contracts, reflecting the continuing trend among mid size corporates to outsource all or part of their IT services to the cloud. Seven of the contracts won each had a total contract value in excess of £100,000 and collectively had a value of over £2.5 million.

New customers won include leading TV production company, Shine TV, producers of hit series such as Masterchef, Merlin and Got To Dance and software distributor Softcat a leading provider of software licensing, hardware, security and related IT services to corporate and public sector organisations. For Shine TV, iomart Hosting is providing a critical front end web presence on a managed basis.

In the case of Softcat, iomart Hosting is providing a complex hosting environment to support Softcat’s blue chip clients.

Angus MacSween, CEO of iomart commented:

“We are delighted to be announcing these contract wins which validate our strategy of focusing on delivering services from within every layer of the cloud based hosting model, from the core infrastructure service layer to the complex application hosting layer.

We are witnessing an accelerated adoption of cloud computing and cloud services among enterprises and the size and scale of deployments is also growing. Businesses are thinking far more strategically about cloud services and the benefits that they will bring to their IT operations over the next few years.

We are very well placed to take advantage of this fast growing market and fully intend to capitalise on our innovation, proven capabilities and growing reputation in this fast growing and exciting market.”

The group intends to issue a half-year pre-close trading update around the end of September.

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