Haydale Graphene Industries has announce it is exercising its rights under its existing pipeline agreement with Swansea University and Swansea Innovation Limited (together Swansea) (the 'Pipeline Agreement') to acquire a new invention (the 'new invention').
The new invention relates to heatable articles, in particular clothing and bedding, incorporating carbon nanomaterial-based heaters. The flexibility, compact construction and thermal performance of the heaters means that the technology is envisaged as being of particular relevance to high performance garments for elite sports applications.
Pursuant to the terms of the Pipeline Agreement announced 25 February 2015 and by way of consideration for the acquisition of the new invention, the Company has agreed to grant the inventors, Tim Claypole and Swansea Innovation Limited, warrants over 30,000 ordinary share of 2 pence each in aggregate in the Company (the 'Warrants').
Additionally, royalty income of 2% will be paid to Swansea Innovation Limited from any direct sales made by Haydale of the product or if the product is licensed, the revenue share will be Haydale 90% and Swansea Innovation Limited 10%.
All intellectual property rights in connection with the new invention have been assigned to the Group and the Group has filed a patent application to protect these rights.
The Warrants are exerciseable between the fourth and fifth anniversary of the date of grant. The exercise price of the Warrants is £2.735 per ordinary share (being the mid-market closing Haydale share price on 23 November 2015 plus £1). The warrants may be exercised in whole or in part.
Ray Gibbs, CEO at Haydale, said, "I am pleased to announce this second invention acquired from Swansea under the Pipeline Agreement. As previously stated, our strategy is to work with experts in our chosen market sectors to rapidly develop commercial products using our HDPlas functionalisation process. This announcement demonstrates that this strategy is working and we are optimistic that the new invention will further enhance Haydale’s commercial opportunities in the application of graphene and carbon nano-materials."
Dr Gerry Ronan, Head of IP Commercialisation for Swansea University, said "We are delighted with how successful the Pipeline Agreement with Haydale Graphene Industries plc has become in such a short space of time. By incentivising all parties involved in research conducted at Swansea University we are now seeing the development of potentially commercially viable technologies from graphene. This partnership has been cemented with another patent application for a technology that we believe has huge commercial potential with multiple applications across many industries."