Applied Nanotech Holdings and Chinese company YHCC signed a licensing agreement for Applied Nanotech’s solar ink and paste technology. The announcement is the first license agreement between the two companies after they entered into a strategic relationship in February.
The license agreement calls for Applied Nanotech to collect an upfront payment of US$2 million with ongoing royalties of 3% on sales of solar inks and pastes by YHCC. The first $1.5 million of the initial payment will be due no later than August with the remaining US$500,000 billed in April 2012, assuming that certain technical specifications have been completed.
“We are pleased to have completed the first license agreement with YHCC, which marks our third licensee that will have products in the market and generating royalties in 2012,” said Doug Baker, CEO of Applied Nanotech Holdings.
The license agreement gives YHCC exclusive authorization for Applied Nanotech’s solar ink and paste technology in Asia, but excludes Korea and Japan. YHCC has already started construction on a manufacturing facility in China that will produce the solar inks with plans to have Applied Nanotech’s aluminum pastes as its first produced products. The manufacturing and selling of the goods is expected to begin in 2012.
The two companies advised that they will continue to discuss other collaboration opportunities as Nanotech’s solar inks will be the first products to come out of the strategic partnership.