Tait Communications Seeking Outside Capital, Amending Structure to Enable Investment

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

To enable such external investment to work, a change is being made to Tait’s structure, Mr Diack says, and this is now being discussed with employees, suppliers, customers and other commercial partners.

“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,” Mr Diack says. “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.

“We have incorporated a new, New Zealand parent company which has the ability to accept external investment and Tait is pursuing proposals for a minority investment in this new company,” Mr Diack says.

“The recent award to Tait of the Transport for London contract is prime example of the potential future markets for Tait technology. 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,” Mr Diack says. “If we are successful in attracting additional capital to the business, it will be used to further drive these developments.”

Mr Diack says the company would make progress announcements as appropriate.