9th Jan 2015 09:03
LONDON (Alliance News) - Nanoco Group PLC on Friday said South Korean electronics group LG Electronics has signed a deal with The Dow Chemical Co for the supply of Nanoco's cadmium-free quantum dots for its Ultra HD TV range, as rival Nanosys issued a retraction to information on its deal with Samsung Electronics which sent shares in Nanoco plunging lower earlier this week.
The new range of TVs from LG was launched at the Consumer Electronics Show in Las Vegas this week. The deal confirms a previous announcement from Nanoco that LG would use its quantum dot technology on its 4K TV line-up.
Nanoco did not provide any financial details on the contract.
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 restricted under European and other territories environmental legislation.
The confirmation of the deal with LG comes after shares in Nanoco dropped heavily earlier this week after Samsung Electronics unveiled new TVs at the CES event which were said to use technology from Nanoco's rival Nanosys. Nanoco shares dropped around 18% after the Nanosys announcement on Tuesday.
On Friday, however, Nanosys issued a retraction to that statement, clarifying that its deal with Samsung only covers the patents on its quantum dot technology, not its products or technology.
Broker Liberum said this retraction is in line with its suggestion earlier in the week that Samsung will source the quantum dots for its next generation TVs in-house and reinforces its view that Samsung is likely to sign a deal with Dow for quantum dot supply in future.
"We are delighted that LG has entered a formal partnering agreement with Dow, which has the scale and expertise to meet LG's quantum dot requirements," said Nanoco Chief Executive Officer Michael Edelman.
Nanoco shares were up 1.3% to 118.00 pence on Friday morning.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Nanoco