21st Jun 2019 09:48
(Alliance News) - Shares in Nanoco Group PLC plunged on Friday after its announcement that an unnamed US customer will not continue its contract beyond the initial term.
Shares in the quantum dots manufacturer dropped 76% at 7.74 pence on Friday.
The contract Nanoco has with the US company is for the undertaking of stress testing and process optimization for the Runcorn energy-from-waste facility in the UK.
The contract was initially signed in February 2018 to upgrade the facility and was extended in January to run from January to December.
The US customer has now said the contract will be terminated once its current term expires at the end of 2019, for "reasons wholly unconnected" to the performance of Nanoco's materials or service delivery.
Nanoco said it is now exploring other uses for its technology with other customers, and is working on other opportunities in different sectors, including display.
At this time, revenue and associated cash flows under contract for the financial year ending July 31, 2020 amounts to GBP4.0 million, Nanoco said.
Related Shares:
Nanoco