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Nanoco awaits call from Korea

RESULTS: Nanoco is close to signing its first commercial deal, an important milestone that should generate both significant royalties and shareholder returns

Nanoco (NANO) is closer to realising significant income from its semiconductor nanoparticles - so-called 'quantum dots'. After signing a licensing deal with Dow Chemical in January, the Americans have said commercial production will begin in 2014's first half. Nanoco's chief executive, Michael Edelman, expects the first commercial contract - probably with the big Korean TV manufacturers - "soon". That could open the floodgates and put Nanoco on the map.

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Indeed, about 15m large LCD televisions are sold every year, more than half by Korea's Samsung and LG. Each 60-inch TV will use one gramme of quantum dots, which will vastly improve its colours - there will be similar results for smartphones, tablets and computer screens, too. Revenue has already risen sharply after Dow paid Nanoco $1m (£0.63m) and various milestone payments were triggered in the Far East. But costs have, too, and £661,000 spent hiring another 16 mostly technical staff increased group losses.

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