SHARES in SpaceandPeople have soared almost 25 per cent after it was named as preferred bidder for a Network Rail contract.

The Glasgow company is on course to win a five-year contract worth a "significant" sum to provide concourse exhibitions, events and distribution.

Both parties have to abide by a standstill period of 10 days but after that will look to tie up the details on the agreement.

They hope the deal can begin operating on October 1.

Shares in SpaceandPeople, which has typically providing advertising and kiosks in shopping centres, closed the day up 15.5p at 78p.

Fiona Orford-Williams, analyst at Edison Investment Research, said: "This is a very prestigious contract that, if awarded, would run for five years and be a substantial boost to the group's portfolio.

"There would inevitably be front-end costs associated with setting up the operation, but it gets the group a real step up in accessing above the line marketing budgets of major brands.

"Getting preferred bidder status in such a high-profile contract is a clear endorsement of the group's strategy and the effectiveness of events and promotions staged at other heavy footfall locations."