REG - Light Science Tech. - Rentokil Contract Extension and sensorGROW trials

Light Science Technologies HoldingsAnnouncement

29/09/2022 07:00

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RNS Number : 0767B  Light Science Tech. Holdings PLC  29 September 2022

Light Science Technologies Holdings plc

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

 

Rentokil Contract Extension and sensorGROW trials

 

·    Additional orders received worth c.£500,000 from long-standing
client

·    Growing demand for contract electronics manufacturing services

·   Two trials secured for sensorGROW with potential roll-on subscriptions
worth up to £940,000, over a three-year period

Rentokil Orders

Light Science Technologies Holdings plc (AIM: LST), the controlled environment
agriculture ("CEA") technology and contract electronics manufacturing ("CEM")
group, is pleased to announce that it has received an additional £500,000 in
forward orders from Rentokil Initial plc ("Rentokil"), which are expected to
be fulfilled between November 2022 and March 2023. These new orders are in
addition to historical forward order profiles.

 

The Group's CEM division, continues to grow in line with management
expectations, driven by a strong demand for UK manufacturing in response to
supply chain disruption.

The CEM division formed its customer partnership with Rentokil's pest control
business over 10 years ago. The relationship has strengthened over the years
with the Group providing a growing range of products.

The Group's CEM division continues to supply products to a growing number of
customers across a range of market sectors and to target larger contracts
which give better visibility.

sensorGROW Update

The CEA division has signed two trial contracts for the recently launched
sensorGROW product. If successful, these trials could roll into subscriptions
and be worth up to £940,000 in recurring revenues over a three year period.
The Group is in talks regarding a number of other trials.

 

The Group has already established a strong footprint within the CEA market and
the sensorGROW product provides an additional high margin route to market. The
sensorGROW product provides recurring revenues as the Company provides
technology, data collection, advisory and maintenance services for clients, on
a three year contracted basis.

 

sensorGROW was launched in June 2022 and its technology enables farmers to
monitor the following key growing factors (which are known as the nine
cardinals of plant life) in real-time: air speed, carbon dioxide levels,
humidity, light, oxygen, plant disease, soil, temperature and water pH levels
- with benefits including reductions in water usage, nutrients, fertilisers
and energy while increasing yields and producing healthier crops.

 

Simon Deacon, CEO and founder of Light Science Technologies, said: "We are
delighted that Rentokil has chosen to increase its forward orders with us, as
it shows our commitment to quality and high levels of service. This contract
demonstrates the continued demand for UK manufacture, as we see customers
focus on maintaining mid-term supply chain as well as controlling costs.

 

"I am also pleased to see confirmation of several sensorGROW trial contracts
and expect more to be forthcoming. This demonstrates how growers see the
importance of combining intelligence and increasing productivity to maximise
yields within their indoor growing environments in a time when energy
efficiency is crucial."

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) No. 596/2014, as it forms part of UK domestic
law by virtue of the European Union (Withdrawal) Act 2018 (as amended).

 

For further 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
 Turner Pope Investments (TPI) Ltd (Broker)                 Tel: +44 (0) 20 3657 0050
 James Pope / Andy Thacker

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

 Nick Rome / Paul McManus

 

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

 

Light Science Technologies Holdings plc is the holding company of the Group's
controlled environment agriculture ("CEA") division, Light Science
Technologies Ltd ("Light Science Technologies"), and its contract electronics
manufacturing ("CEM") division, UK Circuits and Electronics Solutions Limited
("UK Circuits").

 

Controlled Environment Agriculture

Light Science Technologies was founded in 2019 and is the Company's grow
lights and sensor technology business, providing bespoke recipes and
technologies tailored to customers' needs - with key targets including indoor,
vertical, glasshouses, polytunnels and medicinal farming markets. The
all-in-one CEA solution will include analysing customers' crop growing
requirements to provide bespoke, low-energy and sustainable equipment.

 

Market drivers include food and water shortages in many parts of the world;
growing global population; UK and other government policy encouraging
sustainable and efficient growth methods; increased scrutiny of the effect of
food production on climate change and the continuing transition away from
processed foods.

 

Contract Electronics Manufacturing

UK Circuits is the Company's CEM focussed division, profit making with strong
revenues. The Group designs, procures, and manufactures high-quality CEM
products, specialising in Printed Circuit Boards, which are used in a range of
sectors including audio, automotive, electronics, gas detection, lighting,
pest control, telecommunications and, more recently, the CEA market.

 

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