Last checked at 2 Sep 2020 07:00
02 September 2020
Strix Group Plc
("Strix" or the "Group")
Update on the HaloPure Technology
Strix Group Plc (AIM: KETL), the global leader in the design, manufacture and supply of kettle safety controls and other complementary water temperature management components, is pleased to announce the launch of its HaloPure technology water purification and disinfection solution within the livestock farming industry in the People's Republic of China ("PRC").
The HaloPure technology, acquired from HaloSource in March 2019, has a unique ability to not only treat raw incoming water, but also maintain an ongoing sanitised environment throughout the water line, which is a perfect application for industries reliant on long distance water lines with significant bacteria contamination such as livestock farming. In the PRC alone, over 15 billion poultry and pigs are farmed annually. The total addressable market is estimated at RMB 5 billion, with Strix focusing on the higher end, automated farms worth approximately RMB500 million which have been growing rapidly.
The HaloPure filtration contains a porous, highly cross-linked polymeric brominated resin with a high surface area which firstly eliminates any microorganisms in the water and then releases hypobromous acid to maintain ongoing microbial control which, in turn, prevents pathogenic microorganisms from reproducing. Current alternative solutions within livestock farming rely on an ultra-filtration membrane technology which provides single use filtration but no ongoing measure to control water microbial build up.
Strix has been conducting live testing in the PRC for the past 12 months, with system enhancement and performance improvements due to be completed in Q4 2020. The Board is encouraged by these results and full commercial roll-out is anticipated in Q4 of this year.
The HaloPure technology, is being developed in a number of their new applications. Not only was Strix able to use this technology during the COVID-19 pandemic as a disinfecting mist, killing any viruses or bacteria on the clothes of employees entering its factories, but this technology has also been identified for use in numerous other healthcare and dentistry applications. Strix has recently appointed one of the leading medical product manufacturers in the PRC as an exclusive distributor within the dentistry market in the PRC and trials are currently being undertaken in selected hospitals.
Mark Bartlett, CEO of Strix, commented, "The Board is delighted with the progress of the HaloPure technology following the successful integration of HaloSource assets into Strix which it purchased in March 2019. The technology played a key role for the Company's business during the height of the pandemic and now it is being adopted in numerous industries that require a water purification and disinfection solution. It offers a unique, real time solution of safe and effective disinfection of water to many industries. The livestock farming industry in the PRC is clearly a considerable market opportunity in addition to the healthcare and dentistry industries. The technology is well positioned to respond to an anticipated policy in the PRC which will require regulated water for use in all livestock farms, hospitals and clinics.
"Following the strategic expansion into new markets, Strix continues to focus its business beyond kettle controls and capturing the medium-term opportunities by entering into commercial agreements which will drive future profitability. We look forward to updating the market on the development of this technology as well as other new products in the coming months."
For further enquiries, please contact:
| |
Strix Group Plc Mark Bartlett, CEO Raudres Wong, CFO | +44 (0) 1624 829829 |
Zeus Capital Limited (Nominated Advisor and Joint Broker) Nick Cowles / Jamie Peel / Jordan Warburton (Corporate Finance)
| +44 (0) 20 3829 5000 |
Stifel Nicolaus Europe Limited (Joint Broker) Matthew Blawat / Francis North | +44 (0) 20 7710 7600 |
IFC Advisory Limited (Financial PR and IR)Graham Herring / Tim Metcalfe / Florence Chandler | +44 (0) 20 3934 6630 |
ABOUT STRIX GROUP PLC
Isle of Man based Strix, is a global leader in the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control, steam management and water filtration.
Strix's core product range comprises a variety of safety controls for small domestic appliances, primarily kettles. Kettle safety controls require precision engineering and intricate knowledge of material properties in order to repeatedly function correctly. Strix has built up market leading capability and know-how in this field since being founded in 1982.
Strix is admitted to trading on the Alternative Investment Market of the London Stock Exchange (AIM: KETL).