Dow deal helps drive Nanoco revenues by 34%
MANCHESTER-based nanotechnology firm Nanoco saw losses widen last year but it is confident about future prospects due to a major commercial deal it set up in January.
The business makes quantum dots - tiny fluorescent particles of semiconductor material which have the ability to emit light. They are in demand by the makers of electronic goods because they consume less power than existing systems.
In January it agreed a deal with US conglomerate, the Dow Chemical Company, which gave it exclusive worldwide rights for the sale, marketing and manufacture of Nanoco's quantum dots for use in electronic displays.
Dow is now setting up its own factory but Nanoco, which takes a royalty from the deal, has already earned more than £600,000 which contributed to stronger sales in the year to July - £3.9m, up from £2.9m. Pre-tax losses were higher at £5m, from £4.3m due to the cost of completing previously agreed quantum dot orders.
Chairman Anthony Clinch said: "Our partnership with Dow for the mass manufacture of Nanoco quantum dots to supply the display market is proceeding well and continues to be a major focus for the business. Additionally, the company's development agreements with Osram and Tokyo Electron are progressing well.
"We look forward to building on a year of solid progress in the commercialisation of our technology and view the future with confidence."
During the year the company added 30 staff and continued to work on other uses for its technology. In October 2012 it signed a joint development agreement with Osram, one of the world's largest lighting companies, and in November it agreed to continue working with Tokyo Electron on the development of a printable, nanomaterial-based solar film. It is also working with the University College London on the imaging of lymph node cancer.
