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Research: TMT
Ensurge Micropower has received its first production order, which is for 150,000 units of its rechargeable 1–100 milliampere-hour (mAh) solid-state lithium microbattery. The value of the order was not disclosed. Ensurge expects additional orders in 2023 and beyond from this lead customer, which is an innovator in the digital health market.
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Ensurge Micropower |
First production order |
Production order |
Tech hardware and equipment |
21 December 2022 |
Share price performance
Business description
Analyst
Ensurge Micropower is a research client of Edison Investment Research Limited |
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Ensurge Micropower has received its first production order, which is for 150,000 units of its rechargeable 1–100 milliampere-hour (mAh) solid-state lithium microbattery. The value of the order was not disclosed. Ensurge expects additional orders in 2023 and beyond from this lead customer, which is an innovator in the digital health market.
Year end |
Revenue |
EBITDA ($m) |
PBT* |
EPS* |
DPS |
P/E |
12/18** |
3.4 |
(49.3) |
(54.3) |
(0.93) |
0.00 |
N/A |
12/19** |
1.2 |
(30.6) |
(35.9) |
(0.61) |
0.00 |
N/A |
12/20 |
0.5** |
(11.3) |
(14.9) |
(0.04) |
0.00 |
N/A |
12/21 |
0.0 |
(14.6) |
(17.2) |
(0.01) |
0.00 |
N/A |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments. **Discontinued business.
The order follows successful sampling of both unpackaged unit cells and complete packaged microbatteries by multiple manufacturers and potential strategic partners. Ensurge expects to move into volume production of microbatteries during H123. Management believes that these will be the world’s first solid-state lithium microbatteries in the 1–100 mAh range to be manufactured in commercial volumes.
Ensurge’s microbatteries enable its customers to create products with features that would be impossible to offer otherwise. Its microbatteries can provide faster charging or higher energy density than conventional rechargeable microbatteries, which is particularly important for devices used in digital health, fitness and remote patient monitoring applications. In addition, unlike typical lithium-ion coin cell batteries, Ensurge’s microbatteries can be mounted on customers’ circuit boards using conventional reflow assembly techniques.
The order is for a customised version of the packaged microbattery provided for sampling purposes. The ability to provide customised microbatteries in novel form factors such as rings is very attractive for customers developing devices for the applications mentioned earlier. These form factors are only achievable with batteries formed on a flexible substrate such as the ultra-thin steel substrate used by Ensurge.
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Research: Healthcare
Midatech announced an all-stock acquisition of Bioasis Technologies (a Canada-based biopharmaceutical company) by issuing 75,884,553 new shares at an exchange ratio 0.9556 per Bioasis share. This translated to a deal value of c C$7.4m (c £4.4m) at the time of the announcement (at c 5.8p per Midatech share) but is subject to change based on share price movements. The proposed acquisition is expected to close in Q123, contingent on regulatory and shareholder approval. In parallel, Midatech announced a two-stage equity raise worth US$10.0m (£8.2m), which will be utilised to support working capital requirements of the combined business and partially pay Bioasis’s outstanding debt. Following the acquisition, Midatech now intends to maintain a dual listing (AIM and NASDAQ).