Smaller companies spotlight

EACH week, former Fleet Street City Editor

Treasure hunt

SUCCESS breeds success, and Derek Harris, chairman of web marketing services company, Global Performance Marketing, is hoping that some of Manchester United‘s magic will rub off on the company he plans to bring to Ofex in April.

The company has designed and patented a marketing tool called Quest, which is an on-line treasure hunt. Players are presented with clues which take them on to advertisers‘ sites and hold them there until they answer the questions and earn 'virtual tokens' (having absorbed advertisers‘ message). And points win prizes.

The difficulty is in attracting people to the site. GPM has overcome that problem – it has tied in with Manchester United who will be promoting their own service, DevilQuest, to their 50 million fans worldwide.

MU has contracted to provide a link from the home page of its own website, to provide a full page advertisement for DevilQuest in eight match programmes a season and a full page advertisement in each of four issues of their monthly magazine.

It has also agreed to its trade marks to be used in the marketing, advertising, promotion and sale of DevilQuest and will allow DevilQuest kiosks to be placed in the MU Museum, the Red Café and its megastore at Old Trafford.

The whole thing kicks off at the beginning of next season and winners of the monthly treasure hunt will be presented with a cheque on the pitch, get tickets for themselves and friends to a match and meet the player of their choice.

GPM has just issued a pathfinder prospectus and is seeking to raise between £1.8m - £2.7m to complete the development programme with the offer and Ofex launch being handled by Brook Corporate Finance.

Most people would be satisfied with that for a start, but Mr Harris told me at this week‘s Ofex exhibition that a further contract is in place to develop StudentQuest for the National Union of Students website and it has a letter of intent from 'a leading Formula One racing team'.

Watching brief

FROM one company planning to launch on Ofex to another that has been quoted for a couple of years and whose results, due in the middle of next month, will show a sharp rise in turnover on last year and indicate that the company is on target for its prospectus promise to be in profit within three years.

Sirrus combines closed-circuit TV with IT and carries pictures over vast distances that can be viewed through websites.

So, while on the Sirrus stand at the Ofex exhibition, it was possible to watch live video coverage of traffic snarl-ups in Washington DC or boats in a coastal marina.

Chairman Michael Holt explained that the Washington travel link had so impressed the Americans that other business was coming in from motoring organisations, bus companies and ambulance services.

He is talking to road works contractors in the UK and is even talking to town halls about putting weddings online so people didn‘t need to travel across continents to be part of a service.

'Most businesses in the western world can now be permanently connected to the internet at quite high speeds, so it is possible to view video literally from anywhere in the world at any time,' says Mr Holt.

Presumably, with correctly sited cameras there will be no need for anybody to leave their offices in future to check on problems – stand by for the couch potato directors.

War games

ALSO on show at the Ofex exhibition were two other companies planning an early quotation for their shares.

BCD Modelling, founded in August 1999 to develop and market a UK Government combat situation, now has two products – Warfighter, for military users, and Tutor for civilians.

Warfighter is used for training junior commanders; it has been used by the US armed forces and is installed with the RAF and at Sandhurst.

Tutor simulates any incident on any site, typically riots, chemical accidents and terrorist incidents. Since September 11 there has been a huge interest in the US which is now turning into firm enquiries.

Brookvale Group also deals in disasters, but of a different kind. The company, which expects to see its shares being dealt in the week beginning March 4, helps individuals and companies sort out their debt problems – and there are not many worse disasters for individuals.

Unlike most others in this field who offer only a telephone service, Brookvale‘s people meet their clients face to face, something which managing director, Neil Hackley, believes helps his people assess how the debt problem arose and to select the most suitable option and repayment structure for the client.

Perhaps the most heartening part of the whole Ofex exhibition, though, was the enthusiasm on every stand and the belief that the future would be bright. They can‘t all be wrong.

Some you may have missed

HYPOGUARD, a Medisys company, has been notified by the US Food and Drug Administration that its Dart blood glucose monitoring system has been cleared for marketing. Hypoguard develops and distributes diagnostic products for the worldwide diabetes monitoring market.

HALO Insurance is now offering a full and competitive range of travel and golf insurance in addition to its existing range of motor, home, pet, European breakdown and motorcycle cover.

BUILDING society turned bank Bradford & Bingley will buy back £150m of its own shares over the next 18 months.

PLASTICS and specialist materials maker Low & Bonar plans to spend up to £100m on acquisitions this year to strengthen its specialist materials operations in the UK and continental Europe.

BUSINESS information and conference group Informa says its biggest trade event – 2002 3GSM World Conference, the world‘s largest mobile communications conference and exhibition - is performing better than expected.

Some to watch out for

WORD in the market is that investors should start getting serious again about Sirius Financial Solutions, the group that provides software for the insurance industry. The shares, which rose to £5 each in the heady days three years ago, are currently nestling around 90p each, but the company virtually disengaged from the City last summer and is now ready to make a comeback.

First signs were in a trading statement published a week ago which revealed that although profits for 2001 will be lower than expected, this was due to an accountancy ruling that revenue due from a licence agreement completed in 2001 has to go into the 2002 year.

The upside of this is that the group has made an excellent start to the current year and has a record order book. Results are due late in March.

THERE is no doubting the market‘s enthusiasm for branded pubs and restaurant group SFI. Website research group MoneyGuru says: 'Short-term earnings growth may come under pressure as the group seeks to reduce gearing levels, but we believe the company remains an exciting growth story.'

The Guru sets a target price of 250p on the shares.

But look at the support from Paul Hickman, analyst at broker Peel Hunt. He believes the company should now be re-rated in line with Wetherspoons which, he says 'implies a 350p price target'.

Hickman forecasts profits a 26% rise in profits this year to £20.5m, rising to £25.5m in 2003.

FOLLOWING a company visit to Bespak, the company that makes asthma inhalers, Company Search says there are signs of strong growth returning. It adds: 'What excites us is the fact that Bespak‘s services arm is assisting Pfizer with the development of a device to deliver an inhaled form of insulin for diabetics.

Pfizer is expected to complete its clinical trials in the next six months and then will file for marketing approval. Good news on this front would add a chunk to sales and electrify Bespak‘s share price.'