Business
Licence Partner Update
Licence Partner Update.
About this update from Nanoco Group Plc
[{"type":"text","content":"\n \n \n RNS Number : 6248H\n Nanoco Group PLC\n 25 March 2020\n \n \n \n \n NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.\n \n \n \n \n \n THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION.\n \n \n \n \n \n FOR IMMEDIATE RELEASE\n \n \n \n \n \n \n 25 March 2020\n \n \n \n NANOCO GROUP PLC\n \n \n \n (\"\n \n \n Nanoco\n \n \n \", the \"Group\", or the \"Company\"\n \n \n )\n \n \n \n \n \n \n Licence Partner Update\n \n \n \n Nanoco Group plc \n \n (LSE: NANO), a world leader in the development and manufacture of cadmium-free quantum dots and other specific nanomaterials emanating from our technology platform, announces the following update on its licence agreement with Merck Gmbh (\"Merck\").\n \n \n Merck have indicated their intention to negotiate a new supply and licensing agreement to replace the existing one which was signed on 29 July 2016. That licence was an evergreen agreement that renewed automatically every year and had escalating minimum annual royalties that were payable unless terminated. Merck have chosen to issue a three month notice of termination of the existing licence while renegotiations take place. Merck and Nanoco continue to work closely to find a mutually acceptable agreement.\n \n \n During this time Merck continue to place additional purchase orders with Nanoco for small scale R&D services and CFQD product for display applications while the renegotiation takes place. The minimum annual licence fee of \n €\n 0.5m for the contract year ending 30 June 2020 will still be payable and no previously forecast income or cash has been lost as a result of this decision by Merck.\n \n \n The Company is continuing to review its strategic options including, but not limited to, a potential sale of the Company through a formal sale process as announced on 5 November and will make a further announcement in due course.\n \n \n \n \n \n Michael Edelman, Chief Executive of Nanoco, said:\n \n \n \"We continue to work collaboratively with Merck and we had based our plans and forecasts on the risk of this renegotiation occurring. While we continue to actively engage with Merck to find a new basis for long term co-operation w...