AMTE.L Share News (AMTE)

(Sharecast News) - Lithium and sodium-ion battery technology company Amte Power reported a "successful" 12 months in a trading update on Friday, following its admission to AIM alongside an oversubscribed placing in March, which raised gross proceeds of £12.9m.
The AIM-traded firm said that gave it a "financially strong" platform from which to complete the first phases of product development, and support the ongoing establishment of its gigafactory.

For the year ended 30 June, the company was expecting revenue and total reported losses after tax to be in line with market expectations.

As a result of the additional funds raised at initial public offering, Amte said it had accelerated investment in its workforce and the preparatory work around the gigafactory, resulting in an increase in operating costs.

Looking at its future income, Amte secured £3.8m in project income during the period, of which 29% was recognised in the year just ended.

That income was made up of both UK and European grants and commercial development income, following "strong" customer engagement.

A further £1m of potential commercial income was contingent on certain projects achieving their milestones.

In June, Amte confirmed it had been selected as the lead in a new government-funded three-year project called 'ULTRA', focussed on bringing two of its lithium-ion batteries to automotive readiness alongside key industry brands.

Amte said it would receive £2.3m over the next three years, as the project progressed, which was included within the £3.8m future project income.

"We are at an exciting point in the development of our portfolio of innovative battery cells," said chief executive officer Kevin Brundish.

"Most recently, we were chosen by the UK government's Advanced Propulsion Centre to lead a new automotive battery cell project involving the close participation of several global car manufacturers who will be road testing our batteries.

"Recent announcements by the major automotive brands on their EV manufacturer plans coupled to the UK government's clear determination to establish Britain as a global centre for battery manufacture is an ideal backdrop for Amte Power."

Brundish said the firm's focus remained on the development of multiple cells for a variety of specialist markets beyond automotive, all with "sufficient scale" to make them commercially attractive.

"We are on track with our development plans as set out at the time of our IPO in March, and we look forward to announcing further updates on our progress."

At 1341 BST, shares in Amte Power were down 2.39% at 204p.