The acquisition that is described in detail in the prospectus for new share emission is now executed.
Through the acquisition DEFLAMO expands the business territory with Great Britain, Ireland, France, and the Benelux countries. DEFLAMO is there by the owner of the patents and intellectual properties rights to a business territory comprising Europe a number of countries in Asia (those countries that were previously part of the former Soviet Union). An important consequence of the acquisition is that DEFLAMO controls the most important asset, and future revenue will not need to go towards licensing fees. The former license agreement has been terminated.
DEFLAMO has also take over established customer contacts and projects that have been carried on and developed in these newly acquired markets.
The expansion of DEFLAMO's geographical business territory means that the Company now holds patents that give it exclusive rights in an area that corresponds to approximately one third of the world's flame retardant market and 37% of the world's industrial production. Prior to purchasing the patent rights, DEFLAMO's licensed territory corresponded to 24% of the world's industrial production.
With respect to the development of technology and information exchange, DEFLAMO will continue to cooperate with the Trulstech Group and Biomimetic Technology Ltd. Included in the purchase are also the rights for the future development of Apyrum within our new geographical territory.
DEFLAMO is a speciality chemical company that markets and manufactures the environmentally-friendly flame retardant Apyrum to companies and industries throughout Europe. Apyrum is a patented, environmentally-friendly, and biodegradable flame retardant that is competitive in industrial use even when disregarding it's unique properties relating to health and the environment.
For additional information, please contact:
DEFLAMO AB (publ)
070 418 49 59