plc (AIM: NANO), a world leader in the development and manufacture of commercial
quantities of quantum dots, announces that it has signed a joint development
agreement with a major Japanese electronics company under which it will design
and develop quantum dots for use in light emitting diodes (LEDs) in liquid crystal
display (LCD) televisions.
Nanoco will receive an upfront payment and milestones under the terms of the
agreement and, on completion of the 18-month development work, it is expected
that a supply and licence agreement will be signed.
The structure of this agreement is similar to an earlier agreement with another
major Japanese corporation active in the LCD display and general lighting markets.
The earlier agreement comprised a total of $1.2 million in joint development
payments during a 12-month period. The development work was successful and a
supply and licence agreement followed, from which a further US$8 million in
milestone payments is expected by 31 December 2010.
It is anticipated that Nanoco will sign further agreements with companies active
in the LED market in due course.
The use of LEDs as the backlight for LCD displays and in general lighting allows
a substantial reduction in the power consumed. Quantum dots offer key advantages
over the phosphors currently used to create white light from LEDs including
superior colour performance.
Michael Edelman, Nanoco’s Chief Executive Officer, commented: “We
are delighted to enter into this agreement with a major company aimed at using
our quantum dots in LCD TVs. This follows an earlier agreement with another
major corporation, which is progressing well. We anticipate signing further
deals in the LED market. This represents just one of the key areas in which
we are making rapid progress in the commercialisation of our quantum dot development,
scale up and manufacturing technology.”