Scott Tod reversed into shell company Darwin Capital last november.
On 2 October 2003, Darwen Capital announced that it had acquired a 20%
shareholding in Scott Tod Developments Limited ('Scott Tod'), which distributes
and maintains automated teller machines and is also involved in the development
and manufacture of card vending machines and change machines, for 525,000 from
A Cohen & Co PLC.
On 7 October 2003, Darwen Capital announced that it had agreed to
acquire the outstanding 80% of Scott Tod, and raised 2.5 million in a placing at 25p per share.

David Massie, the Chairman of Darwen Capital, commented:

'Scott Tod is an excellent business with tremendous growth prospects.
The flotation through reversing into Darwen will not only raise its profile in
the City but will enable it to grow more rapidly through carefully targeted
acquisitions.
Trading at Scott Tod is encouraging and, with plans for a further 200 ATM
machines to be deployed over the next two months, I am confident that the
outlook for the business is excellent.'

The Three Business Divisions

ATMS.

Scott Tod's ATMs are
all free-standing and are situated indoors, typically in pubs, leisure and
retail outlets. Scott Tod currently has an estate of over 900 ATMs in operation,
with revenue generated from a transaction fee of, on average, of 1.43 per
withdrawal and approximately 19p for all other transactions effected on any ATM
owned or operated by Scott Tod.
Key ATM customers include Scottish & Newcastle plc, Enterprise Inns PLC,
Wolverhampton & Dudley Breweries PLC, Six Continents PLC, The Laurel Pub Company
Limited, Megabowl Limited and Tussauds Group.
In April 2001, Scott Tod became a full member of LINK, the ATM network operated
by LINK Interchange Network Limited. This enables Scott Tod to process all
transactions through its estate of ATMs.

Card Vending Machines

Scott Tod develops and manufactures its own range of card vending machines.
These are able to vend all types of cards, from pre-paid mobile phone top up
cards to pre-valued payment cards for use on land line calls, bill payment or
simple business or scratch cards. There are approximately 1,500 Scott Tod card
vending machines in operation, of which 1,200 are installed in approximately 120
hospitals in the UK and the Netherlands.

Change Machines

Scott Tod develops and manufactures its own range of change machines,
predominantly for the leisure industry, including free-standing and wall-mounted
machines which can give back change in either coins, tokens or tickets from an
input of coins, notes or both.

Jewel In The Crown

This is of course its ATM business which is growing at massive pace and is one of only 3 listed ATM companys other than Banks on the main markets the other two being Cardpoint and Ambient, which will float off its atm business Moneybox in a few months time.
The other independent ATM deployers being Hanco ATM Systems
Limited, TRM Corporation, Bank Machine Limited,
InfoCash Limited, INKAS Financial Corp. Limited, OmniCash Limited
and the Travelex Group.

There is of course a fantastic opportunity therefore for SCD with its 1.8 million cash the opportunity for consolidation in the sector.


Business Development

Scott Tod

* Over 900 ATMs deployed

* 1,500 Card Vending Machines

* Over 10,000 Change Machines installed

* Turnover 6.9 million (up 94% from 2002)**

* Profit before tax 158,000 (up 95% on 2002)**

* Market continues to grow

* Current trading encouraging

* 200 ATM machines planned to be deployed in next two months

* Orders for over 500 card vending machines

* Positive about future growth prospects.


Financials

Years ended 30 June 30 June 30 June
2001 2002 2003
'000 '000 '000

Turnover:
Change and card machines 1,724 2,684 3,154
ATMs nil 866 3,747
---------------------------- --------- --------- ---------
1,724 3,550 6,901
---------------------------- --------- --------- ---------
Operating profit 81 200 488
---------------------------- --------- --------- ---------
Profit on ordinary activities before taxation 15 81 158
---------------------------- --------- --------- ---------


Forward Outlook

The Directors and the Proposed Directors, having regard to the performance of
Scott Tod in the current financial year as warranted by the Vendors believe
that, taking into account the additional working capital to be provided by the
Placing, the prospects for the new group for the remainder of the current
financial year are good.
Current trading is encouraging with orders for over 500 card vending machines
and plans in place to deploy a further 200 ATMs in the next two months.

Accordingly, the Directors and the Proposed Directors view the future growth
prospects for new group with confidence.

Results

Interims due 11th of February and the directors propose to pay a dividend.

I rate this as a medium to long term recommendation and as always please DYOR, and you are responsible for your own buying and selling timing actions.

cheers Gf.

Had to bail out of this one since things were getting a little hot! I'm a bit surprised about the fall, and about the sector in general - ie cardpoint and moneybox both edging down. Best on the sidelines for now IMHO.

rgrds
gk

All quiet on this one--should move up soon I hope as the trading update was encouraging. Anyone still holding?

Bought at 57 back sometime ago (April)and watched its descent. Wanted to buy back at 42 but thought I was exposed enough as it was. Has been recovering well sine middle of June. But I notice that a numeber of shares in this sector of the market have had good reports but the market discounts the figures and was taking its profits and waiting.
Have a look at AIt, DAtacash, CardPoint, EPO Telecom Plus. My portfolio was looking miserable for a while. Seems that a recovery is ocurring. Holding for the period.

If it breaks the 67p and 70p should fly.






:=}}}






Hopefully upwards!!!!

Excellent results and a dividend from SCD today. Anyone else still in this one?
I think it is one to accumulate.

In since 51p. holding for medium term at th moment. Graeme.

Moving on up again

Heard a rumour that someone is checking up on the charges made by the "money" machines.

A lot of buying going on.

Maybe good moment to stock up.

Scott Tod confirms it has received a tentative approach which may or may not lead to an offer.

A bit too late for me KD, been out a while.

cheers GF.

Me to Goldfinger.

Just sitting here watching an learning.

KD.