1st Apr 2020 11:52
(Alliance News) - Seeing Machines Ltd said Wednesday it has won a pre-production licence deal with an unnamed partner, which is for the delivery of the company's Driver Monitoring System for an ongoing automotive program.
Shares in Seeing Machines were 11% higher at 1.917 pence on Wednesday in London.
The partner's name was not disclosed, however, Seeing Machines referred to them as "a major Automotive Tier 1 partner".
The monitoring systems developer will receive a non-refundable pre-production licence fee of USD5 million before the end of June, in addition to future volume-based royalty payments for the program.
Seeing Machines will retain all intellectual property rights associated with its product licensed to the partner.
"We have been working on a range of opportunities to license our DMS technology across each transport sector and are delighted that the first to be completed is in our Automotive business with a key Tier 1 partner. This approach to doing business is key to long-term sustainability and appropriate management of our balance sheet especially in businesses where revenue tends to be longtail in nature," said Chief Executive Officer Paul McGlone.
By Dayo Laniyan; [email protected]
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