REG - Sondrel (Holdings) - Updated Supply Arrangements

Sondrel (Holdings)Announcement

27/03/2024 17:00

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RNS Number : 5776I  Sondrel (Holdings) plc  27 March 2024

 

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constitute inside information as stipulated under the Market Abuse Regulation
(EU) 596 / 2014 which forms part of United Kingdom law by virtue of the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement, this inside information is now considered to be in the public
domain.

 

27 March 2024

 

Sondrel (Holdings) plc

 

("Sondrel", the "Company" and together with its subsidiaries the "Group")

 

Updated Supply Arrangements

 

Sondrel (AIM: SND), a leading provider of ultra-complex chips for leading
global technology brands, announces further to its announcement of 27 February
2024 that it has now concluded negotiations with a supplier (the "Supplier")
in respect of existing and future supply arrangements under an addendum to an
existing supply contract ("Addendum").

 

Under the Addendum, contract minimum utilisation levels have been reduced to
bring them in line with the Company's current license usage rates until 2025
and are expected to increase thereafter in line with usage over the life of
the contract as Sondrel scales. Payments will be made quarterly according to
utilisation and licence bundles drawn down. Historical license fee liabilities
currently owed by the Company to the Supplier are to be paid in equal monthly
instalments of US$0.2m up to April 2027 and total cash payments to the
Supplier are expected to not exceed US$1.9 million in 2024.

 

For further information:

 

 Sondrel (Holdings) plc                                        Via Buchanan
 Graham Curren, CEO                                            Tel: +44 (0) 20 7466 5000
 Nick Stone, Interim CFO

 Cavendish Capital Markets Limited                             Tel: +44 (0) 20 7220 0500
 Ben Jeynes / Katy Birkin / George Lawson - Corporate Finance
 Michael Johnson - Sales

 Buchanan Communications                                       Tel: +44 (0) 20 7466 5000
 Chris Lane / Stephanie Whitmore / Abby Gilchrist              sondrel@buchanan.uk.com (mailto:sondrel@buchanan.uk.com)

 

About Sondrel

Sondrel is a UK-based fabless semiconductor company specialising in high end,
complex digital Application Specific Integrated Circuits (ASICs) and System on
Chips (SOCs). It provides a full turnkey service in the design, prototyping,
testing, packaging and production of ASICs and SoCs.

 

The Company is one of only a few companies capable of designing and supplying
the higher-spec chips built on the most advanced semiconductor technologies,
selling into a range of hyper growth end markets such as high-performance
computing, automotive, artificial intelligence, VR/AR, video analytics, image
processing, mobile networking and data centres.  Sondrel designs have enabled
products by leading technology brands including Apple (iPhone), Sony
(PlayStation), Meta's (Oculus), Samsung, Google and Sony smartphones, JVC
(prosumer camcorders), Tesla and Mercedes-Benz cars.

 

Sondrel is well-established, with a 20-year track record of successful
delivery, supported by long standing ecosystem partnerships including Arm,
TSMC and Samsung. Headquartered in the UK, Sondrel has a global presence with
offices in UK, USA, China, India and Morocco.

 

For more information please visit: ir.sondrel.com (https://ir.sondrel.com/) .

 

 

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