14th Oct 2013 09:55
LONDON (Alliance News) - Applied Graphene Minerals PLC Monday said it intends to raise funds by floating on AIM, with dealings expected to commence in November.
The company, which is a spin-out from Durham University, said listing on AIM would enable it to scale up production and accelerate commercialisation with blue chip partners.
"We have seen considerable interest from blue-chip businesses which have recognised the advantages of our production process, enabling us to continuously produce graphene cost efficiently on a commercial scale. Admission to AIM will provide the company with the funding for its next phase of development and build our position as a global graphene manufacturer," Jon Mabbitt, chief executive, said in a statement.
Graphene, the thinnest material known and yet one of the strongest, conducts electricity as efficiently as copper and outperforms other materials as a conductor of heat.
University of Manchester physicists Andre Geim and Kostya Novoselov won the 2010 Nobel Physics Prize for their work on graphene.
Applied Graphene Materials says that it can continuously produce high purity graphene at a cost efficient price, no mean feat considering the material's adoption has been hampered by the inability to produce graphene cost efficiently and at scale.
The company said it will be capable of producing one tonne of graphene per year at its first commercial scale facility based at the Wilton Science Park on Teesside, which was commissioned recently, though it wants to use the proceeds of the stock market floatation to increase capacity to eight tonnes per annum over the next 18 months.
Applied Graphene Materials expects graphene demand to increase to around 400 tonnes by 2017, up from current levels closer to 40 tonnes.
Its commercial strategy is based on becoming a supplier of graphene-based performance materials to partners manufacturing products incorporating graphene. The company already has commercial agreements in place with nine partners in different application areas.
Applied Graphene Materials is 25%-owned by intellectual property investor IP Group, which welcomed news of the IPO.
IP Group shares were Monday quoted at 138.59 pence, up 3.59 pence, or 2.7%.
By Samuel Agini; [email protected]; @samuelagini
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