Redstone adds to contract tally

VAR wins two new contracts worth £2m, but keeps schtum over client names

Redstone has nabbed two business contracts worth a combined £2m, its first contract announcements since welcoming a new managing director.

The first, with an unnamed company, is a three-year managed WAN service contract worth £1.8m, and the second is a renewal of a managed security support services deal with a UK mobile and broadband services supplier worth £257,000.

The firm recently closed an acquisition of rival Maxima, shelling out £13.8m for the troubled firm, with Maxima's boss Fraser Fisher taking on a management role for the expanded company.

Its acquisition followed a "stable" fiscal 2012, where the firm narrowed losses to almost break-even point and reduced bank debt.

Kate Hanaghan, research director at analyst TechMarketView, commented: "Bringing in new business, and growing existing contracts, is key for Redstone right now.

"During 2012, it struggled with top-line growth, although it has managed to rein in costs to improve EBITDA."