Tech group clinches supply agreement with global microelectronics giant

Manchester tech group Nanoco has announced a supply agreemengt with Switzerland-based STMicroelectronics International (ST).

The agreement covers both development work and commercial supply of nano-materials for use in various infra-red sensing applications over an initial five-year period.

It extends the collaboration that was in place while both companies were working for a mutual significant US customer.

Orders for development work on material for a new application and small scale volumes of an existing material have already been received.

The first phase of the development work, which started in April, is scheduled to last until December 2020.

Dr Michael Edelman, Nanoco’s chief executive, said: “We are very pleased with this latest development in our collaboration with ST.

“Both companies have been working actively to generate value from our previous two years of investments in developing new materials, devices, and mass production capabilities for use in infra-red sensing.

“The agreement now enables us find new routes to market in the short term, and potential new applications in the medium term.”

He added: “ST’s deep knowledge of the sensing markets and multiple potential applications and customers makes them an ideal strategic customer for Nanoco.

“Nanoco’s materials deliver a very significant performance enhancement to ST’s silicon-based infra-red sensors.

“A medium term roadmap to commercial production volumes, enabled by our newly-developed materials, is taking shape. This will allow us to leverage the value from our recent investment in our new Runcorn electronics materials production facility.”

In 2019, ST’s net revenues were $9.56bn, serving more than 100,000 customers worldwide.