ASG Group in trading halt
- 13 August, 2014 10:30
ASG Group (ASX: ASZ) is in a trading halt as it prepares to make an announcement about the sale of its data centre.
In a letter released to the ASX today, ASG’s company secretary Peter Torre requested that the trading halt begin today and continue until an announcement “in respect to the sale of the data centre” or the opening of ASX trading on 15 August, 2014.
ASG Group CEO Geoff Lewis had previously announced plans to sell the Perth data centre as part of a capital management program in an ASX announcement during October 2013. The 550 square metre facility was opened in September 2011.
At a media briefing in Sydney during November 2013, Lewis said that while a “number of people” were interested in the data centre it would only be sold if the company received what he considered a “fair return”.
“We don’t see it as a strategic asset. However, it is producing good profits and has long term [customer] contracts," he said at the time.
The ASX announcement follows news this week that ASG Group signed a five-year ICT services contract with the Australian Maritime Safety Authority (AMSA) for an undisclosed sum.
AMSA is a federal government agency responsible for maritime safety, protection of the marine environment and search and rescue.
In a statement to the ASX, ASG Group CEO Geoff Lewis said the company would work with AMSA to transform its ICT from a “capital intensive” services model to a business outcomes based delivery model.
Follow Hamish Barwick on Twitter: @HamishBarwick