US Customer partnership update

RNS Number : 9660C

Nanoco Group PLC

21 June 2019

 

21 June 2019

NANOCO GROUP PLC

("Nanoco", the "Company" or the "Group")

US Customer partnership update

Nanoco Group plc (LSE: NANO), a world leader in the development and manufacture of cadmium-free quantum dots and other specific nanomaterials emanating from our technology platform, today updates the market on its business with its US Customer (the 'US Company').

In January 2019, the Group announced a major contract extension to its initial agreement with the US Customer, covering a range of stress testing and commissioning services of the Runcorn facility in the twelve month period to December 2019.

The US Customer has now informed Nanoco that the project will not continue beyond the current contract, for reasons wholly unconnected to the performance of our materials and our service delivery.  Other potential uses for the technology are being explored with a range of customers, including the US Customer.  The Group also continues to work on a number of opportunities in a range of sectors including display.

This decision does not affect the current contract which runs until the end of December 2019.  The Group still expects to deliver a cash breakeven positon, as previously announced, for the twelve months ending December 2019 and to have a cash balance of approximately £6.0m at that time.

At this time, revenues and associated cash flows under contract for the next financial year ending 31 July 2020 amount to approximately £4.0m, the majority of which are included in the forecast cash position at 31 December 2019.

This announcement contains inside information as defined in EU Regulation No. 596/2014 and is in accordance with the Group's obligations under Article 17 of that Regulation.

The person responsible for arranging for the release of this announcement on behalf of the Group is Brian Tenner, Chief Operating Officer and Chief Financial Officer.

For further information, please contact:

Nanoco Group PLC	Tel: [phone]
Michael Edelman, Chief Executive Officer
Brian Tenner, Chief Financial Officer
Caroline Watson, Investor Relations Manager	Tel: + 44 (0) 7799 897357
[e-mail]
MHP Communications	Tel: [phone]
Reg Hoare / Giles Robinson / Pete Lambie [e-mail]

Notes for editors:

About Nanoco Group plc

Nanoco (LSE: NANO) harnesses the power of nano-materials. Nano-materials are materials with dimensions typically in the range 1 - 100 nm. Nano-materials have a range of useful properties, including optical and electronic. Quantum dots are a subclass of nano-material that have size-dependent optical and electronic properties. The Group produces quantum dots. Within the sphere of quantum dots, the Group exploits different characteristics of the quantum dots to target different performance criteria that are attractive to specific markets or end-user applications such as the Display and Electronics markets. One of the interesting properties of quantum dots is photoluminescence: the emission of longer wavelength light upon excitation by light of a shorter wavelength. The colour of light emitted depends on the particle size. Nanoco's CFQD^® quantum dots are free of cadmium and other toxic heavy metals, and can be tuned to emit light at different wavelengths across the visible and infrared spectrum, rendering them useful for a wide range of applications including displays, lighting and biological imaging.

Nanoco has non-exclusive manufacturing and marketing licensing agreements in display with The Dow Chemical Company, Merck KGaA of Germany and Wah Hong Industrial Corporation of Taiwan.

Nanoco was founded in 2001 and is headquartered in Manchester, UK, with a US subsidiary, Nanoco Inc., in Concord, MA. Nanoco continues to build out a world-class, patent-protected IP portfolio generated both by its own innovation engine, as well as through acquisition.

Nanoco is listed on the Main Market of the London Stock Exchange and trades under the ticker symbol NANO. For further information please visit: www.nanocogroup.com.

 

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