Insights

Why the BSA (ASX:BSA) share price has surged 7% higher today

The BSA Limited (ASX: BSA) share price is climbing higher today after the company announced a new significant contract with NBN Co.
The post Why the BSA (ASX:BSA) share price has surged 7% higher today appeared first on The Motley Fool Australia. –

The BSA Limited (ASX: BSA) share price is climbing higher today on news of a new significant contract with NBN Co.

At the time of writing, the BSA share price is trading up 6.9% at an intraday high of 31 cents. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.8% to 6,922 points.

New multi-year contract

In today’s release, BSA advised it has secured a major contract with nbn to provide activation and assurances services.

The unified field operations agreement will see BSA work on fibre to the premise (FTTP), fibre to the node (FTTN), fibre to the basement (FTTB), fibre to the curb (FTTC), and hybrid fibre coax (HFC) network infrastructure.

Scheduled to begin in early March 2021, the new deal will see BSA increase its base market share. Revenue generated in the first year of the contract is estimated to be in the range of $85 million. However, the company noted that further opportunities could arise in the future, allowing it to increase its earnings.

The initial term of the deal will be for a 4-year period. This can be extended on nbn’s behalf for an additional two 2-year options.

Furthermore, under nbn’s regional allocation model, BSA will be able to operate in regional areas across New South Wales and Victoria. Additional regions will be assigned at nbn’s discretion.

What did management say?

Commenting on the deal, BSA managing director Tim Harris said:

We are extremely proud to have secured this contract and continue our long-standing collaborative partnership with nbn. This contract positions BSA ideally to be able to assist nbn deliver on their strategic goals moving forward, utilising our exceptional track record of service delivery and customer experience.

How has the BSA share price performed?

This has been a turbulent year for the BSA share price, reflecting ups and downs throughout the year. The company’s shares reached a 52-week high of 41 cents in February before falling to a low of 23 cents in March.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Why the BSA (ASX:BSA) share price has surged 7% higher today appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!