Xeros signs JVA with Chinese washing machine OEM

RNS Number : 8701N

Xeros Technology Group plc

23 January 2019

 

23 January 2019

Xeros Technology Group plc

Xeros signs joint development agreement with Chinese domestic washing machine OEM

Xeros Technology Group plc (AIM: XSG, 'Xeros', 'the Group'), the developer and provider of water saving technologies with multiple commercial applications, has today signed a Joint Development Agreement ('JDA') with Wuxi Little Swan Company Limited, a subsidiary of Midea Group ('Midea'), the Chinese manufacturer of home appliances. Midea is one of the world's largest manufacturers of domestic washing machines.

The scope of the non-exclusive JDA is to develop and design a prototype including Xeros' technologies. If successful, the agreement allows for both parties to enter into commercial discussions under a separate agreement and timetable.

In 2017 Wuxi Little Swan Company sold 12.4m washing machines in China giving it a 28% share of the retail market. It also exported 3.87 million washing machines[1].

Mark Nichols, Chief Executive of Xeros commented:

"Our strategy is to license our technologies to major OEMs who have significant market presence around the world. Following our agreement last July to license our commercial washing machine technology in China, this JDA represents a major step forward for Xeros in the domestic washing machine market."
 

Enquiries:

Xeros Technology Group plc Mark Nichols, Chief Executive Officer Paul Denney, Chief Financial Officer	Tel: [phone]
Jefferies International Limited (Nominated Adviser and Joint Broker) Simon Hardy / Will Soutar	Tel: [phone]
Berenberg (Joint Broker) Chris Bowman / Ben Wright / Laure Fine	Tel: [phone]
Instinctif Partners (Financial PR) Adrian Duffield / Kay Larsen/ Chantal Woolcock	Tel: [phone]

Notes to Editors

Xeros Technology Group plc (LN: XSG) is a platform technology company that is reinventing water intensive industrial and commercial processes.

Xeros' uses its patented XOrb^TM technologies to significantly reduce the amount of water used in a number of major applications with the remaining water becoming far more efficient in either affixing or removing molecules from substrates such as fabrics and garments. The result being significant improvements in economic, operational and sustainability outcomes.

Xeros has three divisions working in the garment finishing (Textile Technologies), tanning (Tanning Technologies, branded Qualus) and cleaning/laundry (Cleaning Technologies) markets. In cleaning/laundry, the company has three applications covering domestic laundry, commercial laundry (branded "Hydrofinity") and the cleaning of high-performance workwear (branded "Marken").

For more information, please visit - http://www.xerostech.com/

Midea is the world's largest producer of major appliances. The company was founded in 1958 and now employs more than 100,000 people. Its business segments include consumer appliances, air conditioning, robotics and industrial automation. In 2017 Midea ranked 323 on the Forbes Global 500 list and has placed on the list in each of the last three years. In 2017 the company had a market value of 363 bn CNY / $53.2 bn and revenues of 241 bn CNY / $35.5 bn. It ranks 26^th on the BrandZ™ list of the top 100 most valuable Chinese brands and is the highest-ranking home appliance brand in each of the last three years[2].

Wuxi Little Swan Company Limited is a well-known Chinese manufacturer of home appliances, particularly washing machines. It was established in 1958 as the first washing machine manufacturer in China. Little Swan was acquired by Midea in 2010. In 2017 the company generated revenues of 21.3bn CNY / $3.1 bn. It has a 28% share of the Chinese market for domestic washing machines and exports 3.87 million machines[3].

 

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[1] http://q.stock.sohu.com/newpdf/201830337399.pdf

[2] http://img.midea.com/global/investors/financial_statements/annual_reports/201804/P020180427758994105148.pdf

[3] http://q.stock.sohu.com/newpdf/201830337399.pdf

 

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