According to chief executive Jeremy Marshall, De La Rue tried to do too much too fast in its search for a high rate of growth. Consequently, the group says it is withdrawing from technology-led business-es. At year end De La Rue reported pre-tax profits up 41% to UKP38.5m on turnover down 33% to UKP349.5m. Stage one of this move was the sale of Crosfield Electronics to Du Pont and Fuji last October (CI No 1,235) for UKP235m enabling De La Rue to clear its debts and make a profit of UKP31m, which is reflected in the figures. Next, the group announced that its US printing concern Printrak Inc was up for sale. However, the business was in such a mess that it was decided that the best manoeuvre was a management buyout duly announced yesterday. Under new management, the buyout is led by Richard Giles, an accountant brought in as president six months ago. While De La Rue is financially supporting the buyout with a UKP55m write-down, Printrak is now an independent company. De La Rue will be Printrak’s distributor ouside the US. In the meantime De La Rue is in negotiations to sell Crosfield Press Controls and has put Clwyd-based Remsdaq Ltd up for sale. Remsdaq specialises in security systems and is best known for its Starwatch product. Sygnetron Protection Systems Inc, a US security systems company, may also be sold or closed down depending on the severity of its contractual problems. Tecalia Ltd, a computer services company in the Middle East has already been closed. However, De La Rue remains in computer industry as the EFTPOS terminal company, Fortronic, is part of its payment systems division, while De La Rue Card Technology is ready to ramp up production of its smart card when it judges that the market is ripe.
