Saudi Distribution Agreement
Symphony Plastic Technologies PLC
07 March 2005
7th March 2005
Symphony Plastic Technologies plc
Distribution Agreement - Saudi Arabia
Symphony Plastic Technologies Plc ('Symphony'), the degradable plastics company,
through its wholly owned subsidiary Symphony Environmental Ltd, has entered into
a fifteen year exclusive distribution agreement with Gulf Business Network
Trading Company Ltd., ('GBN') of Saudi Arabia.
The fifteen year agreement will allow GBN to sell and market Symphony's d2w
degradable additive products exclusively into The Kingdom of Saudi Arabia. As
part of the agreement GBN undertakes to purchase not less than US$450,000 of
products within six months and not less that US$2.43 million in the first year
with the volumes increasing by not less than 110% of the preceeding year
thereafter.
This is Symphony's first major agreement in Saudi Arabia, building on its
existing customer base in the Middle East, and further expands its international
distribution network, which includes Brazil, Canada, the Caribbean, New Zealand,
South Africa and USA.
GBN is owned by the Al-Qahtani family, one of the leading families in Saudi
Arabia., and its businesses are involved in Environmental Services and Contracts
Management, Water Treatment and Fire Fighting Services.
Michael Laurier, Chief Executive, said:
'This is another valuable distribution contract and strategically places the
company's d2w additive technology into a completely new market. Both GBN and
Symphony are confident that the market for its product will rapidly develop in
Saudi Arabia as a result of increasing environmental pressures.'
Commenting on the agreement, Dr. Said J. Al-Qahtani, President, GBN, said:
'We are excited to be working with Symphony to market this environmentally
responsible product in Saudi Arabia and the initial sales and response have been
particularly encouraging. Saudi Arabia is plagued with plastic pollution caused
by discarded waste and we believe that the market will receive this
environmentally responsible technology very well.'
For further information:
Symphony Plastic Technologies plc
Michael Laurier, Chief Executive +44 (0) 20 8207 5900
Citigate Dewe Rogerson
Patrick Toyne Sewell/ Ged Brumby +44 (0) 20 7638 9571
Further information on Symphony Plastic Technologies plc
Symphony develops and supplies environmentally responsible plastic packaging
products, which are distributed primarily to the retail, local authority and
health related sectors. The Group's main technology, d2w(R), allows plastic to
degrade, leaving only water, a minimal amount of carbon dioxide and trace
amounts of non-toxic biomass over a short time period. The current d2w(R)
product range now includes additives, carrier bags, refuse and waste sacks,
mailing wrap, stretch film, aprons, dog waste sacks and packaging films.
Symphony has a strong blue-chip customer base in the UK and has successfully
established itself as an international business after signing contracts with
companies in Brazil, Canada & USA, New Zealand, South Africa, the Caribbean and
the Middle East. Further information on Symphony can be found at
www.degradable.net.
This information is provided by RNS
The company news service from the London Stock Exchange