Heads of Agreement
November 17 2003 - 4:16AM
UK Regulatory
RNS Number:1252S
Stanelco PLC
17 November 2003
Reckitt Benckiser set to adopt Stanelco's technology
Stanelco PLC ("Stanelco") announces that it has entered into heads of agreement
with Reckitt Benckiser for the adoption of its patented radio frequency (RF)
technology process for use in the manufacture of detergent capsule products.
Following lengthy trials, Reckitt Benckiser plans a full-scale implementation of
Stanelco's RF Technology by retrofitting on to its production plant for
evaluation; work on this has already begun. The parties now have 90 days to
prove the system prior to entering into full agreement.
Stanelco's RF Technology is hugely more energy efficient than current
manufacturing processes which require tooling to be kept hot all the time, since
RF puts energy directly into the material being sealed. Stanelco's technology
can also seal through liquids and dusts and so eliminate the necessity of having
an air bubble in the detergent capsule which gives the potential to improve
quality, manufacturing speeds and reduce material costs.
Stanelco's primary financial return from the successful implementation of this
work will be in the form of royalties relating to a fair and reasonable share of
the savings made.
Ian Balchin, Chief Executive commented: "Today's announcement is a significant
milestone for the Company which should kick-start royalty payments for Stanelco
for the use of our ground breaking technology. It is the model we have been
working towards for the business as we develop new working applications."
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Notes to Editors:
Stanelco was founded in 1953 and is a world leader in the design and manufacture
of optical fibre furnace technology, induction heating and dielectric welding
equipment. The company's current core business is the supply of RF technology
for rapidly forming optical fibre at rates of up to 2 kilometres per hour with
high dimensional accuracy. Stanelco has been applying its technology to other
markets and is currently developing detergent capsules for laundry and
dishwasher applications, foamed starch trays as an environmentally friendly
replacement for expanded polystyrene and polyurethane, edible sachets and waste
packing.
Further information about Reckitt Benckieser can be found on its website
www.reckitt benckiser.com.
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For further information, please contact:
Ian Balchin, Chief Executive
Stanelco plc Tel: 01489 570991
Jonathon Brill/Caroline Sturdy
Bell Pottinger Financial Tel: 020 7861 3232.
This information is provided by RNS
The company news service from the London Stock Exchange
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