19th Nov 2007 07:05
XL TechGroup, Inc.19 November 2007 Press Release 19 November 2007 XL TechGroup, Inc. ("XL TechGroup" or "the Company") XL TechGroup company TyraTech launches Sustainable Solutions business XL TechGroup (AIM: XLT), the creator of world-changing companies that solveidentified, global unmet market needs, advises that XL TechGroup company,TyraTech Inc. (AIM: TYR) ("TyraTech"), the pioneer of safer, effective andnatural pesticide products, today announces the US launch of its "SustainableSolutions" business with Nature's Natural, a peat replacement and horticultureproduct that will also provide a mass-market medium for the delivery ofTyraTech's natural pesticides. Nature's Natural is created using a proprietary technology that can separate,compost and purify livestock waste on site. The production machinery is beingsold by TyraTech directly to large-scale US dairy farmers and is designed toprovide safe and sustainable treatment of organic waste and solids whilstgenerating an agricultural, farm and home garden peat replacement product. Thepotential value of the US market for the sale of the machinery alone isapproximately US$400 million, based on the number and scale of dairy farmsacross the country. First sales have now been made, providing an early sourceof revenue for TyraTech. By means of contractual agreements with each producer,TyraTech also retains the rights for up to two thirds of the material generatedon farms using this technology for use in its Nature's Natural product lines. Sustainable Solutions provides waste and associated pollution management fordairy farms, as well as an end product that is available as a low-cost, highquality hygienic bedding for cattle. TyraTech is also developing a process thatwill apply its safer and effective products for repelling insects and parasitesto the bedding to improve cattle wellbeing and productivity. Nature's Natural's low salt, pathogen and seed content, along with its highwater retention and nutrient content, also mean it is valuable to horticulturalmarkets, such as nurseries in need of a sustainable peat moss substitute forvarious potting and gardening uses. The annual US market for peat moss is inexcess of US$245 million. The nutrient-rich soil alternative can then be usedas a medium for TyraTech's natural pesticides that kill or repel insects andnematodes that impair plant growth. Take-up of the machinery by agricultural and horticultural markets will bedriven by the cost savings and additional revenue streams that producers andusers will be able to generate through its application. By reducing the amountof cattle manure that is spread on the land or retained in collection lagoons,it can provide significant economic and environmental compliance advantages forthe farmer, especially by curtailing the pollution of the water table and thebad odours that effect neighbours in the farming community. The Nature'sNatural approach lowers the farm's on-site waste content, allowing for largerand more sustainable herds to be managed within strict US governmentregulations. There are further environmental advantages such as the lowering ofgreenhouse gas emissions via the processing of cow manure before the compostingprocess releases these gases. As an alternative to peat, it also reduces thecommercial extraction pressures currently placed on the world's endangerednatural peat bogs. Dr John Scott, CEO of XL TechGroup, said: "The sales of the machinery thatproduce Nature's Natural will generate an early source of revenue for TyraTechwhilst building the foundations for the company to establish a presence in theUS diary farming industry. The sustainable soil alternative is an ideal meansof delivery for TyraTech's safer, natural, effective pesticides to themultibillion dollar horticultural and agricultural markets. We look forward tofurther news from TyraTech over the coming months as it continues to deliver onits exciting business plan." - Ends - For further information:XL TechGroup Inc.John Scott / Harold Gubnitsky Tel: +1 321 409 [email protected] Munden, Director of Investor Relations Tel: +44 (0) 20 7398 [email protected] www.xltechgroup.com Nomura Code SecuritiesRichard Potts, Corporate Finance Tel: +44 (0) 20 7776 1200 www.nomuracode.com XL TechGroup media enquiries:Abchurch CommunicationsHeather Salmond / Gareth Mead Tel: +44 (0) 20 7398 [email protected] www.abchurch-group.com NOTES TO EDITORS About XL TechGroup XL TechGroup is in the business of significant value creation. Working withmajor international corporate and technology partners such as AES, Procter &Gamble and leading universities, XL TechGroup first identifies global unmetmarket needs and then targets and exploits these by the systematic creation ofsuccessful, disruptive technology businesses. These new companies are builtfrom scratch, and are then managed, developed and funded by XL TechGroup throughto the point of a trade sale or a stock market listing. XL TechGroup's unique and proven methodology selects the best opportunities inorder to create one-to-two new companies annually, where each company isexpected to achieve a realisable valuation of at least US$400 million withinfour years from its creation. While an XL TechGroup company might perform astock market listing at an earlier point in this four year timeframe, XLTechGroup would retain a controlling interest and would continue to assist withthe company's development. It is XL TechGroup's aim to deliver significantshareholder distributions at the final exit from each company. XL TechGroup's companies to date are: • PetroAlgae LLC (www.petroalgae.com) • TyraTech Inc. (AIM: TYR, www.tyratech.com) • DxTech LLC (www.dxtech.com) • QuoNova LLC (www.quonova.com) • AgCert International plc (LSE: AGC, www.agcert.com) XL TechGroup has also established GenXL LLC as a joint venture to capture thevalue of those prospects that do not fully meet XL TechGroup's US$400 million,four year criteria but still demonstrate considerable potential worth. Over andabove XL TechGroup's core business model, GenXL is reviewing a significant flowof opportunities from both XL TechGroup and GEN3 in order to generate newcompanies, standalone product lines and technology licensing opportunities or anappropriate mix of these. For further information, see www.xltechgroup.com. About TyraTech, Inc. TyraTech is pioneering a new class of highly effective, non-toxic, pesticidesand anti-parasitic compounds to address global agriculture, horticulture,functional foods, healthcare and veterinary markets. Using a revolutionarychemoreceptor screening process, TyraTech has identified proprietary blends ofnatural oils that stimulate the reactions and biological behaviour of insectsand parasites so that they can be effectively repelled or killed. TyraTech'stechnology prevents the development of resistance and avoids the environmentalconcerns and human health risks of chemical solutions whilst still being atleast, if not more, effective. The Company's products have been validated through strong partnerships withmultinational conglomerates operating within a growing US$23 billion worldwidemarket that is being increasingly driven by environmental legislation andend-user demand. TyraTech continues to develop new product applications based on safe, naturalingredients with a broad range of partners around the world. For further information, see www.tyratech.com. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Tyratech