Nanollose positions itself at the forefront of commercially viable, eco-friendly fibre alternatives for the fashion and textile industries
- Nanollose improves bottom line ahead of tree-free lyocell pilot production
- Nanollose looks forward to an exciting quarter as its tree-free lyocell advances towards commercialisation
- Nanollose to expedite development of its lyocell fibre following $2.85 million raise
Quick facts: Nanollose Ltd
Price: 0.092 AUD
Market Cap: $13.68 m
About the company
Nanollose Ltd (ASX:NC6) is a biotechnology company commercialising scalable technology to create fibres with minimal environmental impact.
The company uses an eco-friendly fermentation process to create fibres that could become a sustainable alternative to conventional plant-derived cellulose fibres.
Nanollose has filed a joint patent application entitled ‘High Tenacity Lyocell Fibres from Bacterial Cellulose and Method of Preparation Thereof’ with India’s Grasim Industries Ltd for a high tenacity lyocell fibre made from microbial cellulose.
How it is doing
The environmental biotech recorded a loss of $931,045, down from $1.2 million the year prior, whilst also boosting its cash position to $3 million, up 258%.
Its focus now turns to the pilot production phase with a view to producing initial multi-kilo quantities of next-generation synthetic fibre in the second half of 2021.
Nanollose director Winton Willesee said the company was targeting the US$500 billion textile industry with an initial focus on the US$14.4 billion rayon market.
Nanollose Ltd (ASX:NC6) has dispatched the first shipment of refined microbial cellulose (MC) to Birla Cellulose’s pilot facilities in India for further processing and testing prior to being blended with other cellulosic feedstock and spun into lyocell fibre.
As Nanollose progresses through the staged scale-up to 100% tree-free fibres, the collaboration with Birla Cellulose will produce pilot-scale quantities of a range of lyocell fibres with increasing percentages of MC blended with other cellulosic materials such as wood pulp.
Nanollose Ltd (ASX:NC6) and Grasim Industries Ltd plan a staged scale-up approach to enable an expanded product range of tree-free fibres in various blends at varying price points to be offered to multiple markets.
This staged scale-up approach will see the pilot-scale production of several blended fibres being tested, with the blend percentage of tree-free microbial cellulose being progressively increased towards the eventual target of 100% tree-free fibre.
Insight: Nanollose looks forward to an exciting quarter as its tree-free lyocell...
Nanollose Ltd (ASX:NC6) looks forward to an exciting quarter ahead as it moves forward with the commercialisation of its tree-free lyocell to create fibres and fabrics with minimal environmental impact.
The company is also working towards shortlisting potential offtake partners and hopes to formalise a number of agreements in the current quarter.
What management says
Nanollose Ltd's (ASX:NC6) Wayne Best caught up with Proactive's Andrew Scott following the news it's raised $2.85 million in a strongly oversubscribed placement to institutional and sophisticated investors at an issue price of $0.10 per share. He says the funds will further strengthen the company’s balance sheet, placing Nanollose in a strong position to further advance the development and commercialisation of its nullarborTM lyocell fibre.
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