16th Sep 2022 10:20
(Alliance News) - Light Science Technologies Holding Ltd on Friday reported that it has completed Gateway 1, the first "milestone" in its contract with Zenith Nurseries Ltd.
Shares in the Derbyshire-based agricultural lighting and monitoring systems provider were trading 10% higher at 6.60 pence each in London on Friday morning.
The completion of the first phase, to develop the cloche lighting system and demonstrate viability, resulted in GBP51,000 worth of revenue. A cloche is a protective covering that prevents farmed produce from being affected by the cold or insects.
The contract with Zenith Nurseries, an Evesham, England-based farmer of salads and vegetables, is to develop a cloche lighting and sensor technology system. The contract is split into four gateways.
Following the success Gateway 1, Zenith Nurseries has updated its priorities due to energy and import conditions. This means that Gateway 4, which will see the incorporation of the rolling cloche device within new polytunnels, has been brought forward. It is now expected to commence in the first half of 2023 with potential revenue of GBP1.9 million.
"The overall timescale and potential contract value of GBP13.8 million remains unchanged," Light Science stated.
Light Science also reported that its UK Research & Innovation grant now receivable has increased to GBP621,000 because it is now taking responsibility for the harvesting elements alongside contractors.
The grant was awarded by UKRI, the UK's innovation agency, as part of its Farming Initiative Pathway consortium for more sustainable and efficient plant growth in the UK agricultural sector.
Chief Executive Officer Simon Deacon said: "We are delighted with the progress made on the project and the agility of our relationship with Zenith Nurseries, which has allowed a reordering of workflow to bring forward part of Gateway 4.
"The cloche lighting and sensor technology system is as exciting as it is innovative. With applications across multiple plant varieties, we believe there will be significant demand for this solution as food security becomes progressively more crucial in a changing world."
By Chris Dorrell; [email protected]
Copyright 2022 Alliance News Limited. All Rights Reserved.
Related Shares:
Light Science Technologies