The LiveTiles Ltd (ASX: LVT) share price has returned from its trading halt and is tumbling lower.
At one stage the intranet and workplace technology software provider's shares were down as much as 11% to 26 cents.
The LiveTiles share price has since recovered some of this decline but currently trades 6% lower at 27.5 cents.
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Why is the LiveTiles share price under pressure?
This morning the LiveTiles share price returned from its trading halt after it released an update which provides more colour on yesterday's new contract announcement.
On Wednesday, LiveTiles revealed that it had secured a "record multi-million dollar deal with one of the largest healthcare companies in the US."
However, no details were provided in respect to how many millions the contract was worth or who the contract was with. This appears to have caught the eye of the ASX Ltd (ASX: ASX), which prompted today's update.
What was today's update?
This morning LiveTiles stated: "Pursuant to ASX Listing Rule 3.1, LiveTiles confirms the customer is United Healthcare Group."
According to the ASX, listing rule 3.1 states that "an entity must disclose all information concerning it that it becomes aware of from any source and of any character, if a reasonable person would expect the information to have a material effect on the price or value of its securities."
In light of this, the company revealed what record multi-million dollar deal means to it.
It advised that the contract is for an initial and minimum term of three years, with a minimum contract value of A$3.0 million.
It does, however, have the potential to grow up to A$12.2 million over the life of the contract. This is based on the customer's possible employee headcount growth over the next five years and the inclusion of additional products and services that may be required as the project evolves.
Management advised that there are no material conditions that need to be satisfied, nor is there other material information relevant to assessing the impact of the commercial agreement on the price or value of the company's shares.
Judging by the LiveTiles share price today, some investors may have believed the contract was going to be even larger based on its first announcement.
