Spaceandpeople shares rise on deal with shopping centre giant Capital

By PERRY GOURLEY
Published on 17/07/2012 00:00

SHARES in Spaceandpeople, the Glasgow-based promotions company, rose strongly yesterday after it announced it had sealed a deal with FTSE 100 property developer Capital Shopping Centres (CSC).

Under the five-year agreement, Spaceandpeople will manage and sell space in the majority of CSC’s shopping centres including Braehead in Glasgow, Lakeside in Thurrock and the Metro Centre in Gateshead.

Spaceandpeople, which uses empty spaces in venues such as shopping centres and railway stations to demonstrate products and services for its clients, already has a long-standing agreement with CSC covering sites including the Arndale Centre in Manchester and Cribbs Causeway in Bristol.

Earlier this year, the Scottish company won a deal with Land Securities to manage promotional space in 12 of its sites, including Overgate in Dundee, the Bridges in Sunderland and Gunwharf Quays in Portsmouth.

Spaceandpeople – which operates more than 600 sites in the UK, Germany, India and Russia – has carried out promotions for companies including fruit juice maker Del Monte, skin care brand Nivea and make-up producer Rimmel.

Sales rose by 19 per cent in 2011 to £10.7 million, with operating profit up 23 per cent to £1.8m. Chairman David Henderson-Williams said that, although the UK retail market faced challenges, the company was being successful in securing contracts and expanding into new territories.

Shares rose by 7.5p, or 11.2 per cent, to 74.5p last night, valuing the company at £14.4m.