SRT Marine Technology in the News

31st May 2007 - Aim High - PWC

Winners: Best Technology Award

The Software Radio Technology PLC Group (SRT) designs and develops complex wireless technology products called 'reference designs' which combine hardware and software to create a complete core technology platform.

These blueprint designs conform to international standards and provide clients with a fully compliant design from which the final product can be built.

The business was originally part of Securicor PLC, before being bought out by a consortium of private investors. In 2004, funds were raised from institutions to invest in further developing its reference design technology and take it to market.

"In the summer of 2005 we decided to float the company on AIM and by November had achieved a successful float. The timetable was achieved because our broker was familar with our business through the institutional fund raising process," says Simon Tucker, one of the founder buyout directors who, together with CEO Shamus Kelly and Finance Director Matthew Rogers, makes up the executive team.

FOCUSED ENERGY
Today, SRT licenses its designs to major electronics companies. It charges its customers an initial fee for the technology transfer and design development costs, then an ongoing royalty for its single source ASIC chip component, without which the device cannot funtion.

The company has focussed its energies on two distinct business opportunities: TETRA and AIS. TETRA is the secure, digital professional mobile radio standard, used predominantly by security forces, which is currently being rolled out in over 75 countries. AIS is a marine identification system which allows sea-going vessels to be recognised by radar systems. SRT has developed a low-cost Class B system, suitable for smaller vessels, such as fishing boats and leisure craft.

LOOKING AHEAD
The move from a bespoke projects business to the reference design model was a key element in the growth of SRT. "Looking ahead, mass production by customers will generate significant royalties. Other contributing factors to our growth has been customers buying TETRA in bulk, enabling us to sell manufacturers the refernce design. Being quoted on AIM has contributed a great deal to our success. We believe the regulations are understandable and not necessarily onerous. Our share price performance has been good since IPO and having a well balanced board of executive and non-executive directors is very helpful," says Simon.