Nanoco Group

LN: NANO

Market Cap£110m

Last Close 34p

Nanoco Group is a global leader in the development and manufacture of cadmium-free quantum dots and other nanomaterials, with c 560 patents. Focus applications are advanced electronics, displays, bio-imaging and horticulture.

Investment summary

Nanoco has signed an agreement for a fifth work package from its major European customer. This covers the final phase of a scale-up of a longer wavelength material and development of a third material. It has also completed a placing and subscription raising £2.0m (net) at 37p/share, which extends the cash runway into CY24, and announced a broker option at 37p/share potentially raising up to an additional £3.7m.

Y/E Jul	Revenue (£m)	EBITDA (£m)	PBT (£m)	EPS (fd) (p)	P/E (x)	P/CF (x)
2020A	3.9	(2.9)	(4.9)	(1.39)	N/A	N/A
2021A	2.1	(2.9)	(4.7)	(1.30)	N/A	N/A
2022E	2.4	(2.6)	(4.4)	(1.24)	N/A	N/A
2023E	2.4	(2.7)	(3.7)	(1.00)	N/A	N/A

Industry outlook

The potential value of a settlement or damages award should be supported by the strong commercial success of Samsung’s quantum dot televisions and the recent launch of a second-generation device. Market analyst Omdia estimates that cumulative sales of Samsung’s quantum dot televisions was 26m in the five years to 2021, 9.42m in 2021.

Last updated on 01/07/2022