Receipt of US$10m prepayment, pre-close update

RNS Number : 7234A

Carclo plc

25 March 2013

 

25 March 2013

Carclo plc

("Carclo")

Receipt of US$ 10 million prepayment, pre-close update

and confirmation of Board change

We are pleased to report that Atmel Corporation ("Atmel") has notified us that the US$10.0 million prepayment due under our partnership agreement on commencement of volume shipments of touch sensors will be received this week.

In our Interim Management Statement issued on 7 February 2013, we provided an update on the status of volume production of touch sensors based on Conductive Inkjet Technology's ("CIT's") Fine Line Technology ("FLT"). Production in the downstream manufacturing chain restarted after Chinese New Year and the immediate customer requirements have been fulfilled. Whilst shipments did not reach the intended levels, this tablet program represents an important milestone in the adoption of FLT and the experience gained will be invaluable in the rollout of FLT into future programs.

Atmel has reported additional significant design wins for XSense™ products which will support CIT's planned growth in the second half of this calendar year. Our new facility in Cambridge will be operational in May 2013.

In our Interim Management Statement we also commented on the weaker schedules in Technical Plastics in December and early January.  Firm demand returned in February and is continuing in March, but we do not expect to recover the sales shortfalls in December and January. This will result in lower sales in Technical Plastics than originally forecast for the full year. As expected there has been a very good inflow of new contracts in LED Technologies and trading in Precision Engineering remains strong.

As planned, and previously announced, Chris Malley will take over from Ian Williamson as Chief Executive of Carclo on 27 March 2013. 

Carclo will announce its preliminary results for the year on 11 June 2013.

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Enquiries:
Carclo plc	01924 268040
Chris Malley, Chief Executive Designate
Robert Brooksbank, Finance Director
Weber Shandwick Financial	020 7067 0700
Nick Oborne / Stephanie Badjonat

Notes to editors

Carclo plc is a technology led plastics group. It is a public company whose shares are quoted on the London Stock Exchange.

Approximately three fifths of sales are derived from the supply of fine tolerance, injection moulded plastic components, which are used in medical, optical and electronics products. This business, Carclo Technical Plastics, operates internationally in a fast growing and dynamic market underpinned by rapid technological development.

Approximately two fifths of sales are derived from the supply of specialised precision components to the premium automotive and aerospace industries and LED optics for a wide range of end applications. Carclo is a leader in the development of high power LED lighting for supercars.

Carclo's strategy is to develop new technologies and products to drive future growth. Its investment in Conductive Inkjet Technology is at the heart of the newly emerging market for very low cost printed electronics.

 

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