Major Customer Update: Loss of Contract
Summary by AI BETAClose X
The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
Surface Transforms plc
("Surface Transforms" or the "Company")
Major customer update - loss of contract
Surface Transforms (AIM: SCE) manufacturers of carbon fibre reinforced ceramic automotive brake discs, announces the following major customer update.
Major customer update - Loss of contract
The Company has been informed by General Motors ("GM") that it is re-sourcing its supply of brake disks with effect from 31st March 2026. GM is the Company's most significant customer and in FY 2025 formed £15.3m (84%) of revenues and 85% of discs sold and was under contract until 2030. Additionally, since November 2024 GM has provided the Company with operational support and financial assistance including advance payments of £14.4m.
Outlook
The Company has not yet had the opportunity to speak directly with GM about the termination, but the loss of this contract has a material impact on the Company's ability to trade and as a result the Directors intend to immediately engage corporate restructuring advisers to protect stakeholder's interests. Further information will be provided as appropriate.
For enquiries, please contact:
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Surface Transforms plc |
+44 151 356 2141 |
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Kevin Johnson, CEO |
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Steve Harrison, CFO |
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Zeus (Nominated Adviser and Broker) |
+44 203 829 5000 |
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David Foreman / James Edis / Ed Beddows (Investment Banking) |
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Dominic King (Corporate Broking) |
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About Surface Transforms
Surface Transforms plc. (AIM:SCE) develops and produces carbon‐ceramic material automotive brake discs. The Company is the UK's only manufacturer of carbon‐ceramic brake discs, and only one of two mainstream carbon ceramic brake disc companies in the world, serving customers that include major OEMs in the global automotive markets.
The Company utilises its proprietary next generation Carbon Ceramic Technology to create lightweight brake discs for high‐performance road and track applications for both internal combustion engine cars and electric vehicles. While competitor carbon‐ceramic brake discs use discontinuous chopped carbon fibre, Surface Transforms interweaves continuous carbon fibre to form a 3D matrix, producing a stronger and more durable product with improved heat conductivity compared to competitor products; this reduces the brake system operating temperature, resulting in lighter and longer life components with superior brake performance. These benefits are in addition to the benefits of all carbon‐ceramic brake discs vs. iron brake discs: weight savings of up to 70%, longer product life, consistent performance, reduced brake pad dust and corrosion free.
The Company holds the London Stock Exchange's Green Economy Mark.
For additional information please visit www.surfacetransforms.com
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