Capita PLC (LON:CPI) shares gained as the company said it has won a contract extension to provide audience services to the British Broadcasting Corporation (BBC).
The deal will extend Capita’s contract with the BBC for an initial five years with a possible option for a further two years.
The news is a welcome boost for Capita after the outsourcing firm announced a major overhaul under new chief executive Jonathan Lewis following a series of profit warnings.
Lewis, who has been at the helm of Capita since last December, is trying to simplify the business by selling off divisions after admitting the company was too widely spread across multiple markets.
Under the renewed contract with the BBC, Capita will continue to provide the public broadcaster with audience feedback, ideas for programme-making and new ways to encourage public participation.
The deal comes after Capita announced last week that Volkswagen Group UK has extended an 11-year customer service contract with the outsourcer by two years.
READ: Capita shares jump as Volkswagen extends customer services contract
Last month, Capita had failed to win a British Airways call centre contract following a period of exclusive talks.
Capita has provided the BBC with audience service since 1999.
Shares rose 2% to 148p in afternoon trading.