Australia's Bluechiip rises on settlement agreement with Labcon North America

Bluechiip

24/06/2021 05:48

** Shares of wireless tracking solution developer Bluechiip
Ltd  BCT.AX  gain as much as 3.2% to A$0.032
    ** Co says a $1.6 mln settlement has been agreed between BCT
and Labcon North America, one of Bluechiip's original equipment
manufacturer partners  urn:newsml:reuters.com:*:nASX2fTZrL
    * Under resolution, Labcon agreed to provide Bluechiip with
$1.6 mln, comprising $850,000 cash payment and return of
$750,000 worth of Bluechiip delta tags and products
    ** Co says Labcon and Bluechiip also entered new supply
agreement for new Bluechiip enabled consumables, readers, and
software
    ** BCT will provide Labcon a credit of up to $1.4 mln on
sales under this new supply arrangement
    ** On July 16, 2020 Labcon North America provided notice to
terminate chip supply deal with BCT and filed litigation in the
United States District Court for the Northern District of
California  urn:newsml:reuters.com:*:nFWN2EM13K
   ** As of last close, BCT had fallen 29.6% this year

 (Reporting by Aditya Munjuluru in Bengaluru)
 ((aditya.srivastsav@thomsonreuters.com))