17th Apr 2008 12:12
Timestrip PLC17 April 2008 TIME.L Timestrip plc ("Timestrip" of the Company") Trading Update The Company today announces a trading update in relation to its operationalperformance and its funding requirements and a proposed placing. Timestrip continues to increase its acceptance amongst its blue chip customerbase. Regular shipments of the Timestrip product are now being shipped to theCompany's largest customer, United Pet Group, under a 3 year contract expectedto generate sales of $3million over 3 years. Further, the Company isexperiencing increased repeat sales from existing customers. The Company has established a strong pipeline of potential contracts, whichgives the Directors optimism for the future and continues to pursue a strategyof licensing the rights to manufacture to third parties in local markets. Tothis end, the Company is engaged in discussions with interested parties in NorthAmerica and has recently acquired a third generation production machine tosatisfy the requirements of a licensee manufacturer. The Company has also recently reported that its second technology, the iStripfreeze monitor, is gaining wider distribution and acceptance in North Americaand Europe. It has been adopted by a leading pharmaceutical company inconnection with the storage of clinical trial materials and has already helpedidentify problems with shipments. The Company, in its interim statement in 28 September 2007, stated that itremained confident that it had adequate financial resource to reachprofitability. However, despite some material contract wins, this has notgenerated the immediate cash flows that had been hoped for and it is now clearthat further funding will be required to meet this objective. The Company, as atend of March 2008, had cash resources of £0.44 million which taking into accountvarious capital expenditure commitments provides funding for the currentoperations of the business until the end of May 2008, and has actively commenceda process of arranging an equity placing, which is likely to be at a discount tothe current price and is planned for completion early May 2008. For more information, please contact: Paul Freedman, Joint CEO, Timestrip plc 01462 440 700Shane Dolan, Biddicks 020 7448 1000Bobbie Hilliam, Evolution Securities 020 7071 4300 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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