Tadpole Technology Plc has announced the structure of its new subsidiary Tadpole-RDI, which now dominates the market for portable UNIX workstations. Following the acquisition of its only competitor RDI Computer Corp of Carlsbad, California, Tadpole has phased out production at its Cambridge base and is winding down operations at its own US headquarters in Austin, Texas, providing a total payroll savings of around 40 staff. With an enhanced product range which cater to both Sun and Hewlett Packard professionals, Tadpole feels the new subsidiary has a bright future. On their own, Tadpole and RDI had both been losing money but the chance to snap up their sole competitor was too good to miss for Tadpole when RDI’s owner, South Korea-based Trigem Computer Inc, was looking for a quick sale when hit by economic problems at home. Indeed, Tadpole’s chief executive Bernard Hulme reckons the $6.0m price was largely covered by RDI’s assets, with little paid for goodwill. While Tadpole-RDI may eventually produce a steady income, the more exciting prospect for Tadpole lies with its Cartesia Java-based mobile device aimed at field computing for workers in the utilities sector. The product is entering field trials now and has the potential for substantial growth in the future. Tadpole shares attracted huge interest on the London stock market last week – but it had little to do with the company’s technology. Over two million shares were traded on one day alone and sharp-eyed dealers pounced on the shares as they drifted as low as 8 pence. What they had spotted was the shares had dropped to a substantial discount on the recent rights issue at 10.5 pence. The shares ended the week at an unimpressive 9.75 pence, as Tadpole is still dogged by a reputation as a loss-maker. If Tadpole-RDI turns round quickly and Cartesia takes off, this could all change quickly.
