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Nanoco to receive £1.8m milestone payment from US partner
Nanoco said on Tuesday that it will receive a £1.8m payment from its undisclosed US-listed partner following the recent completion of an important milestone in the material development and supply agreement announced in February.
This milestone - the second of three - has been completed in line with the timetable set out in the agreement and reflects rapid progress being made. The total value of milestones in the programme triggered to date is £2.6m.
Chief executive Michael Edelman said: "We are pleased to achieve this key milestone for our US partner, which demonstrates Nanoco's ability to work with, and rapidly meet, our partner's needs. We remain confident in meeting our timelines to begin commercial supply and in addition, delivering on the expansion of our US partnership recently announced.
"As previously disclosed, the partner is funding the capital expenditure required to expand the manufacturing capabilities of Nanoco's existing Runcorn facility in order to supply the Partner with commercial volumes of product. This process is already underway, with an agreement reached in March to take over 10,000 sq. ft. of additional space in Runcorn to build a state-of-the-art production facility in order to commence commercial supply in January 2019."
At 1555 BST, the shares were up 9.1% to 48.55p.