Polymer Banknote Substrate Supply Agreement

RNS Number : 4552H

Spectra Systems Corporation

01 August 2019

 

Spectra Systems Corporation ("Spectra")

Polymer Banknote Substrate Supply Agreement

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.

Spectra Systems Corporation, a leader in machine-readable high speed banknote authentication, brand protection technologies, and gaming security software, is pleased to announce that it has executed a 10 year, renewable by mutual consent, Supply Agreement with a large, technologically driven, global supplier of Biaxially Oriented Polypropylene ("BOPP") for use as a highly covert banknote substrate which is UV dull and maintains the extremely low haze levels required for the signature window security of polymer notes. 

Polymer substrates offer increased wear resistance, but traditionally have been viewed as less secure for higher value denominations as opposed to paper, which can have covert security features within the banknote substrate. BOPP polymer banknotes are used in lower denominations in many countries worldwide, and for all denominations in several countries including Australia, Canada and, anticipated in time, the United Kingdom.

Spectra has developed a secure polymer substrate through cooperation with the supplier of BOPP.   This partnership and the Supply Agreement will give Spectra the ability to supply more than 2 billion notes per year immediately with additional supply volumes as high as 10 billion banknotes per year to follow. The level III polymer technology has been fully production qualified and sensors have been developed which operate at speeds of 15m/second, 50% faster than the fastest transports currently available.  The technology has the capability to create a number of specific covert signatures for different central bank customers.

Dr. Nabil Lawandy, Chief Executive Officer, stated: "We are extremely pleased to have formed a long term partnership with a major multinational supplier of high performance BOPP to bring disruptive new capabilities to the industry and extend our revenue generation potential by combining our core competence in covert security with higher priced polymer substrates.  We have created a secure supply chain which can provide substrate with or without opacity and anti-static layers and will be featuring this technology at the upcoming Banknote 2020 conference in Washington DC."

Enquiries:

Spectra Systems Corporation

Dr. Nabil Lawandy, Chief Executive Officer                                          Tel: [phone]

WH Ireland Limited

Chris Fielding, Managing Director, Corporate Finance                      Tel: [phone]

 

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