Nanoco and Dow Change to Non-Exclusive

Nanoco has taken steps to speed the roll-out of its cadmium-free quantum dots. The firm has re-negotiated its contract with Dow Chemical, to modify the licence agreement. Under the new terms, Dow has non-exclusive rights for the sale, marketing and manufacture of Nanoco’s QD technology for use in display applications. For its part, Nanoco is free to pursue a range of routes to market.

Through the new agreement, Nanoco will have greater control over the commercialisation of its IP. It has said that, in the near future, it intends to develop new partnerships to serve the display sector, as well as to manufacture, market and sell its QDs directly from its plant in Runcorn, UK.

As a result of the change, Nanoco will receive a lower royalty rate from Dow on sales of cadmium-free QD products, and will not receive earn-out income from Dow. Due to this, Nanoco has warned that it expects its financial results for the current year to be lower than previously expected. However, higher revenues are expected in future years.