Nanoco opens second factory to meet demand

MANCHESTER University spin-out Nanoco is continuing to scale-up production after a period of strong sales growth.

It has taken 3,000 sq ft at The Heath technology park in Runcorn and plans to invest £1.3m converting it into a large scale production plant.

The AIM-listed company manufactures quantum dots – tiny fluorescent particles of semiconductor material which have the ability to emit light.

The dots can be used in flat screen TVs and mobile displays and are in demand because they reduce power consumption. Nanoco, which also has a factory in Manchester, is keen to increase capacity to meet the demands of mass market producers.

The company, which employs 49 staff, is also working on photovoltaic inks which can be printed by conventional equipment to create films for use as solar panels.

In the year to July 31 revenue was up 47% to £2.9m but costs associated with hiring 13 more staff, and research and development, led to an increase in pre-tax losses from £780,000 to £1.3m.

Chairman Dr Peter Rowley said: “The rapid progress at Nanoco since joining AIM in May 2009 has continued into the current year, which has started well. We are making substantial progress in developing our business, particularly in our manufacturing scale-up and in delivering on our commercial contracts.”