Revolymer cleans up with licensing agreement

CHESHIRE-based domestic products company Revolymer is reporting a 94% increase in turnover to £1m for 2014.

The firm, which specialises in household products, personal care and nicotine gum, for the first time recorded a gross profit – £119,000 (2013 gross loss £343,000). Its reported loss for the year was £4.3m (2013: £5.3m).

A key element in its success was the signing of a licence agreement with international chemicals group Salvay.
 
Under the terms of the deal, Solvay has exclusive rights to apply Revolymer’s encapsulation technology to expand the market for its proprietary cleaning and disinfecting active ingredient 6-phthalimido-peroxyhexanoic acid, known as PAP and commercialised currently by Solvay under the trade mark Eureco.

The geographic territory of the licence is global, and Solvay intends to target industry segments including laundry detergents and additives and dish wash agents, in the consumer, domestic, industrial and institutional markets. Solvay will make royalty payments to Revolymer on net sales of PAP products incorporating Revolymer technology.

Revolymer is also making headway in the personal care sector with its amphiphilic moisture management polymer technology which has been shown to provide tangible benefits in skincare, haircare, and colour cosmetics.

There was also a significant increase in sales of nicotine gum in Canada with nets sales up 103% to £1m, compared to £495,000 in 2013.

Chairman Jack Keenan described 2014 as “a year of significant commercial and organisational progress for Revolymer”.

“During the year commercial milestones were achieved in each of the three key business areas,” he said.

“Our financial performance has also improved slightly over 2013, with revenues (primarily from nicotine gum sales in Canada) growing for the first time to just  more than £1m (2013: £0.5 million) and annual losses reducing to £4.3m (2013: £5.3m).

“Our objectives remain to move the business to ultimate profitability through further contracts in our targeted market segments.”