Business Weekly - Cambridge, UK

The Wellingborough-based firm reported an increase in losses to £3.2m for the first half, up from £2.7m last time, on the back of narrowed turnover, which dropped from £2.3m to £1.5m for the six months to March 31 2007.

Sarantel remains upbeat however, due to a possible lifeline in the form of an emergence of a niche for its unique technology in the handheld GPS market, which the firm is discussing with major manufacturers.

“We believe that the market trend towards hand portability will favour the unique properties of our antenna,” said CEO David Wither.

“We continue to pursue design wins in the high-volume GPS PND market and are receiving very positive feedback from customers or potential customers who are developing hand portable GPS products.”

In a separate statement, the firm announced a streamlining of its board, with COO Bill Taylor and directors Philip David and Colin Tucker stepping down with immediate effect.

Shares in Sarantel have plummeted 26 per cent, falling 3p to 8.5p.