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Dmatek - NO RECOMMENDATION

Companies: DTK   
15/01/2002

Electronic tagging business Dmatek has won a £2.8m contract to provide electronic monitoring systems for Scotland's convict tagging programme. Israeli-based Dmatek will supply its EMS-2000i monitoring system on lease to London-listed Reliance Security, which has a five-year contract to operate Scotland's national prisoner electronic monitoring service. First payments are expected to reach Dmatek in the second half of 2002, with total revenues in the region of $3m to $4m expected over the life of the contract. Scotland has been running a pilot programme for the last three years in Hamilton, Peterhead and Aberdeen, comparing Dmatek's equipment to others'. Dmatek chief executive,Yoav Reisman, says he is pleased that Scotland has chosen Dmatek and, naturally, that a trial had been converted into a full-scale programme. Last week, Dmatek announced it had won a contract to distribute an alcohol-level monitoring system produced by Mitsubishi. Dmatek, which already makes some of the parts for the system, has secured the rights to sell it in the USA, and Reisman estimates this will bring an extra $4m-$6m in revenue over the next two years.

Market cap: £32.8m
PE Forecast: n/a
Share price: 151p

LSE£44.13m 202.50p 0.00p
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