DALLAS, Jan. 24, 2014 /PRNewswire/ -- Oryon
Technologies, Inc. (OTCQB : ORYN), an innovator of next-generation
flexible lighting technology marketed as ELastoLite®, has entered
into a multi-faceted strategic transaction with Netherlands-based EFL Tech that combines their
worldwide EL business activities and operations under Oryon. The
transaction significantly extends Oryon's reach into international
wearable technology and related information display markets.
Oryon Technologies has established a leading reputation in
active personal lighting systems. Its patented electroluminescent
(EL) technology combines flexible printed circuitry with advanced
elastomeric lamps. ELastoLite® enables thin durable lighting
systems that are flexible, crushable and washable. It is
incorporated into smart textiles and gear used in low light
environments, and molded into plastics or substrates for
automotive, biomedical and security applications, among
others.
EFL Tech is a global technology company and a premier developer
and licensor of printed electronics based on electroluminescent
(EL), electrochromic (EC) and transparent organic photovoltaic
(TOPV) technology. Its solutions can produce energy-efficient,
self-powered, low- cost printed and flexible electronic displays
and smart signage. "We are a leading company in the global
licensing of innovative technologies," explained Alex Hatzimihail, EFL Tech CEO. "The Oryon
relationship accelerates plans to meet growing global interest in
EL lighting applications and smart wearable technology."
The transaction encompasses operating capital, board
composition, patent portfolios, product manufacturing and global
business activity. Specifically:
- EFL Tech is providing Oryon $1.5
million of financing. At closing on January 21, 2014, the first installment of
$1.0 million was paid, to be followed
by $ 0.5 million by March 31, 2014. Oryon will use a portion of the
proceeds for the repayment of debt;
- As part of the EFL Tech transaction, approximately
$817,375 of indebtedness was
exchanged for 19,267,010 shares of Oryon common stock plus cash
payments aggregating $122,125;
- Oryon issued EFL Tech 85,271,779 shares of common stock at
closing, representing 51 percent of issued and outstanding stock.
Additional shares of Oryon stock will be issued to EFL Tech as
further funding is received by March 31,
2014. At that point, EFL Tech will hold 75 percent of Oryon
common stock on a fully diluted basis;
- Following the transaction, Mark
Pape and Jon Ross resigned
from Oryon's Board. EFL Tech has the right to nominate four board
appointments after all funding has occurred. Dr. Clifton Shen was approved on January 21, 2014 to fill one of the
vacancies;
- Oryon's CEO, Thomas Schaeffer,
retains that position, although he has resigned the title of
President. At this point, that position has not been filled.
The agreement also entails:
- Combining EFL's sizeable EL patent holdings with Oryon's
already extensive international EL patent portfolio, under an
exclusive worldwide license covering all EL-related patents,
trademarks and other intellectual property. The license is
royalty-free. Meanwhile, Oryon's patents, trademarks and IP remain
with it;
- Leasing of certain EL printing equipment (acquired by EFL Tech
from Bayer Material Science AG and valued at $1.5 million) at no cost to Oryon;
- Control by Oyron of all EFL worldwide EL-related business and
licensing activity, with Oryon the contracting party for licensing,
manufacturing and sales of EL products to customers.
Oryon joins the EFL Tech global network with offices currently
in the UK, Netherlands,
Australia and the U.S. "The
EFL relationship will enlarge Oryon's overall presence and
leadership position in EL," remarked Thomas
Schaeffer, CEO. "It underscores the immediate
opportunity and the tremendous potential in active lighting,
wearable technology, accessories and displays worldwide."
The combined technology portfolio is supported by EFL Tech
USA in Los Angeles. Led by Dr. Clifton Shen, Chief Scientific Officer, the
center will have significant advanced research and prototyping
capability in-house and through an extensive university outreach
program, particularly in the areas of advanced materials and their
applications in printed electronics, displays, energy harvesting
and others.
About Oryon
Oryon Technologies, Inc. ( OTCQB : ORYN ) is a research,
development and applications engineering company that has developed
multiple patents relating to electroluminescent ("EL") lighting
trademarked as "ELastoLite". ELastoLite® enables thin,
flexible, crushable, water-resistant lighting systems that can be
incorporated into a wide range of applications such as safety
apparel, sporting gear, shoes, membrane switches, signage and
displays among others. Market areas include: industrial, municipal
safety; military, medical and automotive. Learn more at
www.oryontech.com or contact info@oryontech.com.
About EFL Tech
Founded in 2008, EFL Tech is an advanced technology company
based in The Netherlands providing
solutions for Transparent Organic Photovoltaics (TOPV),
Electroluminescence (EL), and electrochromics (EC) that are truly
at the forefront of science and technology development. EFL Tech is
a world-leading developer of printed electronic products based on
EL, EC and TOPV. Integrating those three technologies, the company
provides customers/manufacturers with the solutions to produce
energy efficient, self-powered, low-cost, printed and flexible
electronic displays and related products. EFL Tech applies both
scientific and technical skills in device engineering, materials
science process development as well as business strategy,
innovative process management and product marketing to deliver the
best solutions to clients with the highest standards. EFL Tech has
a world class licensing program that provides all necessary support
to licensees to deliver ground-breaking solutions to their clients.
Currently the company is establishing strategic partnerships,
alliances and collaborations with universities, companies and
industries worldwide. For more information visit
www.efltech.com or contact info@efltech.com.
Notice Regarding Forward-Looking Statements
This news release contains "forward-looking statements" as that
term is defined in Section 27(a) of the Securities Act of 1933, as
amended, and Section 21(e) of the Securities Exchange Act of 1934,
as amended. Statements in this press release that are not purely
historical are forward-looking statements and include any
statements regarding beliefs, plans, expectations or intentions
regarding the future. Such forward-looking statements include,
among other things, reference to new technologies and sales methods
as well as financial projections for the size of the market. Actual
results could differ from those projected in any forward-looking
statements due to numerous factors. Such factors include, among
others, the inherent uncertainties associated with new projects and
development stage companies. These forward-looking statements are
made as of the date of this news release, and we assume no
obligation to update the forward-looking statements, or to update
the reasons why actual results could differ from those projected in
the forward-looking statements. Although we believe that any
beliefs, plans, expectations and intentions contained in this press
release are reasonable, there can be no assurance that any such
beliefs, plans, expectations or intentions will prove to be
accurate. Investors should consult all of the information set forth
herein and should also refer to the risk factors disclosure
outlined in the Form 8-K, as amended, dated May 4, 2012 and our Annual Report on Form 10-K
for the most recent fiscal year, our quarterly reports on Form 10-Q
and other periodic reports filed from time-to-time with the
Securities and Exchange Commission.
SOURCE Oryon Technologies, Inc.