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  • Industrial contracted workers WestStar came to flaunt good news this morning to ASX punters, but returned home with a 15.2 per cent reduction in its share pricing instead
  • The company released a positive media release, touting another $5 million in its portfolio of contracted work before its shares surprisingly fell from 4.5 cents each to 3.9 cents a piece
  • The new work was awarded to the company’s engineering branch of operations – SIMPEC
  • For this financial year, the company is already looking at $25 million in work compared to last year’s total of $50 million

Industrial service providers WestStar fell 15.2 per cent in the ASX today, despite adding $5 million to its standing contracted work.

The company, currently sitting with a market cap of $28.32 million, broke news to shareholders this morning to flaunt its latest winnings in contracts.

Announcing an extra $5 million in contracted work to its already existing portfolio has boosted the company’s working size for July alone to roughly $10 million.

However, after publishing the media release to shareholders in the ASX, the company took a blow to its share pricing.

This morning the company opened at 4.5 cents a piece, before tumbling to 3.9 cent.

The announced $5 million in contracted work this morning was awarded to the company’s engineering branch, the SIMPEC company.

“SIMPEC’s on site performance continues to pay dividends in the form of further works,” SIMPEC Managing Director Mark Dimasi said.

As well, WestStar management says the company is well positioned for the current financial year, with already roughly $25 million in contracts ready to commence over the 12 month span.

“We have built and continue to build on a strong portfolio of works in the resources industry across multiple commodities,” Mark added.

WestStar rounded off the 2019 financial year with $50 million worth of contracts. In the first week alone of this financial year, the company was quick enough to land $5 million in contracted work.

Earlier this month, company management expressed hopes to smash the $50 million target this financial year.

Today, WestStar reports $10 million in cash banking with a standing debt of $0.9 million.

The company has 615,754,616 shares issued at present with its top 20 shareholders owning 54 per cent of the shares.

“We again thank all of our clients for their support,” Mark Dimasi concluded.

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