Leader Environmental Technologies says it has entered into a joint venture (JV) agreement with Nanosun to set up high performance membrane manufacturing facilities in Singapore and China.
Leader Environmental Tech will own 60% of the JV. Nanosun will own the remaining 40%.
The total investment in the JV is said to be at $10 million.
The facilities are expected to be completed in 12 months, and will begin producing membrane products by the end of 2021.
Nanosun is a Singapore company established in May 2013 by Professor Darren Sun, who is an internationally renowned scientist in the field of nano materials and 3D printing membranes.
Sun is the founder and chairman of Nanosun.
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The commercialisation of Sun’s work at the Nanyang Technological University (NTU) has received strong support from the university and the Economic Development Board (EDB).
Nanosun, following the successful launch of its first nano 3D printing flat sheet membrane in 2018, has recently developed a new hybrid filtration membrane that binds inorganic crystalline titanium to high performance polymer-based membranes.
The investment in the JV is funded using the proceeds from Leader Environmental Tech’s rights issue and bank borrowings.
The JV is not expected to have any material impact on the earnings and net tangible assets (NTA) of the group in the current financial year ending Dec 31.
“The JV with Leader Environmental Tech provides Nanosun with a solid platform to expand its membrane applications. Leveraging on Leader’s engineering and project execution capabilities, it will be able to provide total solutions in water and wastewater treatment, sludge treatment and other novel membrane separation applications for pharmaceutical, life science, healthcare and chemical industries,” says Sun
“We are honoured to have the opportunity to work with Professor Sun and Nanosun. Leader is a technology driven company focusing on high-tech environmental solutions, technologies and products and has progressed well in our search of good technology companies,” says Lin Yucheng, chairman and CEO of Leader Environmental Tech.
“Following the acquisition of sludge treatment technology company, Bituo Environmental Technologies (Tianjin) Co., Ltd, Leader has successfully secured a joint collaboration with Nanosun to develop and manufacture high performance - hybrid membrane reaping the benefits of both ceramic and polymeric membrane. This is the first invention of such hybrid membrane in the world,” he adds.
Shares in Leader Environmental Tech closed 0.1 cent lower or 0.5% down at 18.1 cents on Jan 18.
