1st Feb 2005 11:05
Symphony Plastic Technologies PLC01 February 2005 1st February 2005 SYMPHONY PLASTIC TECHNOLOGIES PLC NEW NORTH AMERICAN DISTRIBUTION AGREEMENT Symphony Plastic Technologies Plc ("Symphony" or "the Group"), the degradableplastics company, is pleased to announce that it has entered into an exclusiveproduct supply agreement with Degradable Plastic Products Inc. (DPPI) in Canadaand the United States. Following extensive negotiations this 15 year agreementsupersedes all previous distribution agreements in this territory. Under the terms of the agreement, DPPI will become the exclusive supplier of d2w(R) products and additives throughout North America. An initial payment ofUS$50,000 has been received together with the issue of 1.1 million shares inDPPI, representing approximately 25% of the total equity of the company. Afurther payment of US$550,000 is to be made by DPPI during the second half of2005. DPPI has been granted an option for one year, subject to Symphony boardapproval, to purchase up to 4 million Symphony shares at a price of 30p. The agreement between DPPI and Symphony also states that DPPI is to list on anational securities exchange in the United States or Canada within a two yearperiod. Michael Laurier, Chief Executive Officer, said: "This contract greatly enhances Symphony's exposure to the lucrative NorthAmerican market without exposing the Group to the risks inherent in establishingits brand in a new territory. This contract for Symphony's d2w(R) degradabletechnology and products is another significant step forward in a major marketand demonstrates Symphony's progress in expanding its products and servicesacross the globe. We look forward to creating a long term relationship with DPPIto establish Symphony's d2w(R) technology as the market leader throughout NorthAmerica." Earl Chapman, DPPI Founder, President and Chairman of the Board, said: "We are extremely pleased to be announcing this deal between Symphony and DPPI.This technology will allow us to address one of the most important environmentalhazards in North America and around the world. We look forward to working withSymphony to market a cost effective solution to this global waste problem." For further information, please contact: Symphony Michael Laurier, Chief Executive Tel: 020 8207 5900 Ian Bristow Citigate Dewe Rogerson Patrick Toyne-Sewell Tel: 020 7638 9571 Ged Brumby Ends Information on Symphony: Symphony develops and supplies environmentally responsible plastic packagingproducts, which are distributed primarily to the retail, local authority andhealth related sectors. The Group's main technology, d2w(R), allows plastic todegrade, leaving only water, a minimal amount of carbon dioxide and traceamounts of non-toxic biomass over a controlled time period. The current d2w(R)product range now includes additives, carrier bags, refuse and waste sacks,mailing wrap, stretch film, aprons, and packaging films. Symphony has a strong blue-chip customer base in the UK and has successfullyestablished itself as an international business with agreements in Brazil,Colombia, New Zealand, South Africa, the Caribbean and the Middle East. Further information on Symphony can be found at www.degradable.net Information on Degradable Plastic Products Inc.: DPPI is a privately held Canadian company based in Toronto, Ontario. The companyis majority owned and operated by the company's management team. It wasestablished in November 2003 to exploit "d2w(R) technology" exclusively inCanada. Earl Chapman, DPPI President and Chairman, has worked primarily in sales andmarketing for the past twenty years for such organizations as Bell Canada,Lucent Technologies and Tucows International. The DPPI management and Advisory Board collectively represent an experiencedgroup which has proven marketing skills, broad experience in business managementand finance, and in dealing with all levels of government. Several members haveextensive knowledge of polymer chemistry. Further information on DPPI can be found at: www.dppi.ca This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Symphony Env.