Jade founder's holding cut

By PAM GRAHAM

Jade Software president Sir Gil Simpson has ceded majority ownership of the firm he founded 25 years ago.

The conversion of notes held by foreign and local investors and staff into ordinary shares has watered down his holding from 90 per cent to 15 per cent.

The conversion into shares of the $12 million of notes sold in 2001 did not give the company any new money but it was a vote of confidence from noteholders and provided a simpler balance for approaches to new investors, Sir Gil said.

The company was aiming to raise $15 million of new equity by March.

Sales of new software systems in depressed technology markets have been hard going for the company at a time when revenues from old products are declining.

The Christchurch firm cut its workforce by 25 per cent last year.

Sir Gil said Jade had received two orders from the US late last year, the first in a market it had been trying to crack since 2002.

He said the changed shareholding did not affect his passion for the company.