IT Capital's shares leap questioned

By PETER GRIFFIN

News of 3D technology developer Deep Video Imaging's advanced negotiations with the United States military yesterday boosted IT Capital's share price from 6c to 8.6c, sparking a Stock Exchange inquiry - and a statement by DVI investor Stephen Tindall.

Tindall, a large investor in DVI alongside IT Capital's 43 per cent stake, said he would review his investment if military uses of the technology moved beyond navigation and mapping to weaponry.

In the meantime, he was a committed stakeholder and had no plans to pull out of his investment in DVI.

"I've just got to run on my own conscience. If it gets to a position where I'm uncomfortable about it, at least I have the ability to divest."

Hamilton's DVI gives screens 3D display technology that is unique despite monitor heavyweights such as Samsung and Sony investing heavily in 3D displays.

IT Capital told the exchange a Sunday Star-Times article about Tindall and DVI might have caused the surge in its share price.

Tindall said there was good scope for the technology to be put to good uses by the military.

"To turn our backs on this technology because the military fail to see its potential to accelerate understanding, would be like turning our back on computers because they are also used in the military," he said.

Nasa had told DVI that its screens would help in aviation flight control and that, in medical science, the screens would enable better analysis and surgery practices, Tindall said.

The company supported his stand on the path DVI might take. "Fortunately, everyone in the company is on the same page and we're all very comfortable with the deals that have been done so far."

Those deals with the US military had been in navigation and safety, but other uses, from tank navigation to aircraft instrumentation, also were being considered.

DVI had many opportunities "over and above the military" for its technology, in areas ranging from medical imaging to video gaming and information kiosks, he said.

"I'm confident we'll find a lot of different channels that will work."

Another New Zealand company, Plato, also is looking to do sizeable business with the US forces.

In July, the Epsom clinical software developer will begin software trials with the US Department of Defence.

No money will be attached to the trial, but if it is successful, Plato could eventually provide clinical software for a health system that manages the records of 8.5 million defence workers, their spouses and children.

Securing that contract would generate multimillion-dollar revenue for Plato.