In an interview with Proactive's Thomas Warner, Simon Deacon, CEO of Light Science Technologies Holdings PLC (AIM:LST), discussed the company's latest acquisition of Injecta Fire Barrier (IFB) from Deacon’s Fire Barrier International Ltd.
This strategic move aligns with the UK government's fire safety initiatives and marks a significant expansion in LSTH's portfolio, and the music industry.
Deacon elaborates on the potential market opportunities, the integration of IFB into LSTH's portfolio, and the company's broader business strategy, including recent acquisitions and advancements in AI for agriculture.
Thomas Warner (TW): Simon, can you tell us about the recent acquisition of Injector Fire Barrier and its significance?
Simon Deacon (SD): Absolutely, Thomas. The acquisition of Injector Fire Barrier is a pivotal move for us. It's a unique material that enhances building safety against smoke and flames without the need for extensive facade removal, aligning with environmental concerns and occupant safety. The UK government has earmarked £5 billion for this sector, but we see the market potential as being around £50 billion. This acquisition fits perfectly with our existing portfolio and expands our market reach.
TW: How does this acquisition fit into LSTH's overall business strategy?
SD: The acquisition complements our diverse portfolio. We have a strong presence in various markets through UK Circuits, which has over 20 years in manufacturing, dealing in sectors ranging from pest control to the music industry. We've been involved in fire safety products for over a decade. This acquisition comes at an opportune time, with a forward order book of over £600,000 and a quoted pipeline of over £7 million. It's an exciting step that aligns with the Fire Safety Act of 2021, emphasizing our commitment to making buildings safer.
TW: Could you elaborate on LSTH's performance in other business areas, like agriculture?
SD: Certainly. Our acquisition of Tomtech has strengthened our position in the controlled environment agriculture sector. We now offer a comprehensive range of services, including lighting sensors and control systems, positioning us as a turnkey provider. We're also investing in AI to automate farming processes, a vital step towards the future of agriculture. We're expanding our distributor network globally, covering regions like Australia, the Middle East, and the Americas.
TW: What are the latest developments in your electronic solutions segment?
SD: In the electronics sector, particularly with UK Circuits, we're experiencing continued growth. We've recently brought in Emily Slater as our new sales director, who brings valuable industry experience. Her expertise will be crucial in developing partnerships with blue-chip companies, enhancing our presence in the electronics manufacturing sector. This is part of our broader strategy to finish the financial year strong and gear up for significant progress in 2024.