Tait restructures, seeks outside capital

New Zealand’s Tait Communications has announced that it is seeking outside investment and amending its company structure to enable it take advantage of growth opportunities.

“After three-plus years of targeted technology development, Tait Communications is breaking new ground in the fast-evolving digital space for mission critical communications,” said Garry Diack, the company’s chief executive.

“Global opportunities now exceed Tait Communications’ ability to respond and growth capital is required. Monetising some of the existing value of Tait will allow us to pursue these opportunities in a very competitive global market.”

But in order to make external investment possible, changes must be made to Tait’s structure, Diack added.

“The current ownership of the commercial business is by two New Zealand charitable trusts set up by Sir Angus Tait prior to his passing in 2008,” he said.

“For a decade, this ownership arrangement has provided a stable platform upon which the company has developed to this point.

“Now, alongside the trusts, external investment and partnerships are needed to take advantage of global emerging technologies to secure the future of the company he founded.”

Tait has incorporated a new, New Zealand parent company that has the ability to accept external investment, and is pursuing proposals for a minority investment in this new parent.

“The recent award to Tait of the Transport for London contract is prime example of the potential future markets for Tait technology,” Diack said.

“This award was underpinned by the result of three years of dedicated research and development to take our traditional radio business into a software-enabled critical communications business.

“If we are successful in attracting additional capital to the business, it will be used to further drive these developments.”

Diack said that employees, suppliers, customers and other commercial partners are being fully consulted about the changes, and that progress announcements will be made at the appropriate times.

Image caption: Tait’s futuristic headquarters in 1980. Image courtesy Tait Communications.

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