23rd Mar 2015 08:47
LONDON (Alliance News) - Nanoco Group PLC Monday posted a narrowed pretax loss for its first half, as it said it made progress with commercialising its quantum dot technology and it continued to express optimism for its partnership with US chemical products giant The Dow Chemical Co.
Quantum dots are nanocrystals made of semiconductor materials, which can be used in solar cells, LEDs and diode lasers. Nanoco's quantum dots do not contain cadmium - a heavy metal that is currently restricted under European environmental law.
The company reiterated that Dow expects to begin production at its first mass-production plant for cadmium-free quantum dots in South Korea this year, although it now expects this to begin in mid-2015, having previously guided the first half of 2015.
South Korean electronics group LG Electronics Inc signed a deal with Dow earlier this year to supply Nanoco's quantum dots for its Ultra HD ColourPrime TV's. The product will be launched "in the near future" in the US.
Nanoco posted a pretax loss of GBP4.1 million for the half year to end-January 2015, narrowed from a pretax loss of GBP5.0 million a year before, as a rise in revenue to GBP1.6 million from GBP679,000, was partly offset by a rise in administrative expenses.
Nanoco said it is making good progress with the commercialisation of its technology in the display industry. Whilst it will need to invest further into research and development to "fully" commercialise its technology in the display market, it said it would also focus more closely on three other areas: LED general lighting, solar power and bio-imaging.
The company said it was continuing to explore a move towards a premium listing on the London Stock Exchange's main market. It is presently listed on AIM.
Although cadmium is presently severely restricted, the European Commission has been considering allowing the the use of cadmium-containing quantum dots to the end of June 2018. Nanoco said should the Commission opt for this extension it would use its right to appeal if necessary.
"We have made considerable technical progress in our other key target markets of LED general lighting, solar and bio-imaging. Going forwards we intend to put more emphasis on these additional markets, all of which offer major commercial potential," said Chairman Anthony Clinch in a statement.
Shares in Nanoco are trading down 1.3% at 99.95 pence Monday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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