Oct 8 2008
Raymor Industries Inc., a leading developer and producer of single-walled carbon nanotubes, nanomaterials and advanced materials, announces that its wholly-owned subsidiary, AP+C Advanced Powders and Coatings has signed a titanium powder supply agreement with a new international European-based client, which will generate sales of a minimum of $1,000,000 per year for 2008 and 2009. This client, whose identity is protected by a confidentiality agreement in place, has developed applications for AP+C powders primarily to service the biomedical and aerospace sectors. Raymor expects its long-term relationship with this client to grow in the coming years. Orders received to date by AP+C which are deliverable in 2008 amount to $3.5 million, as compared to $2.5 million for all of 2007. With qualifications underway with new clients, more orders are expected before the end of this year. Also, with the 2 nd powder production unit in operation, coupled with its process optimization work, Raymor has now more than doubled its production capacity to meet the growing needs of this new client as well as additional demand from other clients.
Stéphane Robert, President and CEO of Raymor Industries, had the following to say:
“Since AP&C signed its first large volume contract with a major US orthopedic implant company, AP&C has been receiving many interest for its unique, high-quality titanium powders. This new international, European-based client is a very positive addition to our list of clients because they develop different applications for international clients in the aerospace and biomedical industry with AP&C powders. The potential for increased business volume from this new client is excellent.”
AP&C’s metallic powders, including CP Ti, Ti-6Al-4V, and Nitinol, are produced using the patented Plasma Wire Atomization (PWA) Process. This globally unique process produces a highly pure metallic powder with an exceptional sphericity. These two properties allow AP&C’s metallic powders to offer the best performance for aerospace, aeronautical, biomedical and defense applications
Also, as mentioned in our September 2 nd, 2008 press release, Raymor is currently negotiating financing alternatives with different lenders and investors in order to secure the funds required for its ongoing operations including factoring arrangements. With regards to these financing alternatives, a private placement of between $1 million to $2 million at the best market conditions available is currently being negotiated. As well, factoring agreement facilities based on raw materials, inventory, and purchase orders is also presently being negotiated.