REG - Light Science Tech. - Passive Fire Protection Update

Light Science Technologies HoldingsAnnouncement

21/10/2024 07:00

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RNS Number : 8572I  Light Science Tech. Holdings PLC  21 October 2024

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Light Science Technologies Holdings plc

("LSTH", "Light Science", the "Company" or the "Group")

 

Passive Fire Protection Update

 

£1.17m follow on order and Increased visibility

 

Light Science Technologies Holdings plc (AIM: LST), comprising three
divisions: Controlled Environment Agriculture ("CEA"); Contract Electronics
Manufacturing ("CEM"); and Passive Fire Protection ("PFP"), announces a
significant follow on order from an existing customer in its PFP division,
worth £1.17m.

 

The customer, a construction services company based in Manchester, has placed
a further order for Injectaclad cavity remediation in two additional
residential tower blocks. This order, which will be completed in H1 2025,
follows on from the first project with the same customer, where the PFP
division has now completed c.£520,000 of an order worth c.£600,000.

 

The majority of LSTH's clients and target market are responsible for property
portfolios requiring remedial passive fire protection work, highlighting the
potential for follow-on contracts within their portfolios. This underscores
the significant potential to drive near-term revenues and cash generation at
the same time as increasing visibility.

 

To understand more about the product and opportunity and view the latest
divisional video please click here
(https://lightsciencetechnologiesholdings.com/passive-fire-division-new-company-introduction-video/)

 

Increasing levels of visibility

Management expects the combination of this contract and order flow seen this
year to underpin a strong inaugural contribution from the PFP division during
the current period (YE 30 November). Having generated revenues of c.£300,000
during H1, the FY contribution from the PFP division is now expected to be
£1.5m to £1.7m, while ongoing contracts provide a good level of visibility
into the next financial year.

 

Simon Deacon, CEO of LSTH, commented: "We're pleased to win this considerable
contract which also increases our visibility and represents growing traction
in the conversion of the wider Group quoted pipeline, which currently stands
at £50m.

 

"The division is well placed to capitalise on the UK's fast growing
fire safety market, which has a potential total value of up to £50bn* and
is being driven by increasing regulation. We've previously highlighted the
considerable opportunity for follow on contracts in this division so are
pleased to report early evidence of our ability to win both new and repeat
work. We are seeing increasing levels of enquiries as this market develops -
with regulation and our proven ability to service our customers underpinning
confidence in our ability to further grow our client base.

 

"PFP has now received orders worth in excess of £2.5m since being established
in November 2023. With a committed order book currently standing at
approximately £1.4m, it is well positioned within a significant growth
market. We are excited by the significant opportunities within our existing
and potential customer base, and with £1 billion of the Government's £5.1
billion allocated spend on cladding remedial works now committed, we look
forward to providing further updates in due course."

 

* Estimators price cladding replacement at 10 times government budget
(theconstructionindex.co.uk)
(https://www.theconstructionindex.co.uk/news/view/estimators-price-cladding-replacement-at-10-times-government-budget)

 

 

For additional information please contact:

 

 Light Science Technologies Holdings plc                    www.lightsciencetechnologiesholdings.com

                                                          (http://www.lightsciencetechnologiesholdings.com/)

 Simon Deacon, Chief Executive Officer                      via Walbrook PR

 Jim Snooks, Chief Financial Officer

 Andrew Hempsall, Chief Operating Officer

 Strand Hanson Limited (Nominated & Financial Adviser)      Tel: +44 (0) 20 7409 3494

 Ritchie Balmer / James Harris / Rob Patrick

 Oberon Capital (Broker)                                    Tel: +44 (0) 203 179 5300

 Mike Seabrook / Nick Lovering

 Walbrook PR Ltd (Media & Investor Relations)               Tel: +44 (0)20 7933 8780 or lst@walbrookpr.com (mailto:lst@walbrookpr.com)
 Nick Rome / Joe Walker

 

Notes to Editors:

 

About Light Science Technologies Holdings
plc (www.lightsciencetechnologiesholdings.com
(http://www.lightsciencetechnologiesholdings.com/) )

Light Science Technologies Holdings plc operates through three divisions:
controlled environment agriculture ("CEA"); contract electronics manufacturing
("CEM"); and passive fire protection ("PFP"). The company is involved in the
design, manufacturing, and installation of products and customized solutions
spanning various industry sectors, including commercial horticulture, pest
control, lighting, audio, gas detection, and fire protection. With a focus on
addressing global challenges related to food security, climate change, and
fire protection, the Group is committed to developing robust solutions in
these rapidly growing market sectors.

 

LSTH is the holding company for Light Science Technologies Ltd ("Light Science
Technologies") and Tomtech (UK) Limited ("Tomtech") in the CEA division; UK
Circuits and Electronics Solutions Limited ("UK Circuits") in the CEM
division; and LSTH IFB Limited ("LSTH IFB") in the PFP division.

 

Controlled Environment Agriculture

The Group's tailored solutions encompass control systems, grow lights, sensor
technology, venting, and irrigation systems, catering to both UK and global
customers. Key markets include indoor, vertical, glasshouses, polytunnels, and
medicinal farming. Driving factors comprise global food and water shortages, a
growing population, government policies promoting sustainable growth methods,
heightened scrutiny of food production's impact on climate change, and a shift
away from processed foods. Key markets span the Americas, Australasia, and
select locations in the Middle East.

 

The sensorGROW technology enables real-time monitoring of essential air zone
growing factors such as carbon dioxide, air humidity, air pressure, air
temperature, and light. In development, it aims to extend monitoring to soil
temperature, soil moisture, and soil electroconductivity. This empowers
farmers to enhance resource management, saving costs on water, nutrients,
fertilizers, and energy, while simultaneously increasing yields and
cultivating healthier crops. Learn more here
https://lightsciencetech.com/sensorgrow/
(https://lightsciencetech.com/sensorgrow/) . The nurturGROW sustainable grow
lighting product range, applicable to greenhouses, vertical farming,
polytunnels, and medicinal plants, addresses a robust market with an
anticipated global worth exceeding US$6.5 billion by 2026. Explore solutions
here https://lightsciencetech.com/solutions/greenhouse/
(https://lightsciencetech.com/solutions/greenhouse/)

 

Through Tomtech, the Group stands out as a UK leader in control systems for
commercial greenhouses and polytunnels. Tomtech enables growers in optimizing
and automating cultivation environments, leading to superior crop growth. The
product range includes control systems, software, irrigation, lighting,
sensors, and venting, applicable across various crops, ultimately improving
yields and profitability. Discover more here https://www.tomtech.co.uk/
(https://www.tomtech.co.uk/)

 

Contract Electronics Manufacturing (https://www.ukcircuits.co.uk/
(https://www.ukcircuits.co.uk/) )

 

UK Circuits serves as the Group's profitable and revenue-strong CEM-focused
division. It excels in designing, procuring, and manufacturing high-quality
CEM products, with a specialization in Printed Circuit Boards. These products
find application across diverse sectors such as audio, automotive,
electronics, gas detection, lighting, pest control, telecommunications, and,
more recently, in the CEA market.

 

Passive Fire Protection (https://injectafirebarrier.com/
(https://injectafirebarrier.com/) )

 

LSTH IFB offers a practical and cost-effective solution to rectify
non-compliant public and private buildings, spanning residential, commercial,
and industrial sectors, with regard to fire safety regulations-a challenge
addressed by a £5.1 billion allocation from the UK government. Serving as the
UK's premier independent approved installer, LSTH IFB utilizes the
ground-breaking Injectaclad fire-resistant graphite barrier system. This
system is retroactively installed within building cavities, reinstating
fire-resistant performance and containing the spread of fire and smoke
compliant with regulatory requirements. This innovative solution stands out as
an appealing alternative to the more costly and disruptive method of removing
external facades and installing traditional fire barriers. With a proven track
record in the passive fire protection market and a robust sales pipeline, LSTH
IFB targets a UK market potentially valued at up to £50 billion*.

 

 

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