EnWave Corp (TSX-V:ENW, OTC:NWVCF) announced that it has signed an amendment to its royalty-bearing license agreement with Patatas Fritas Torres SL (PFT), a leading snack manufacturer based in Spain.
The updated agreement allows PFT to leverage its established distribution network to quickly broaden its offerings in the global snack market.
As part of the expanded agreement, PFT will pay EnWave additional minimum annual royalties in exchange for the broader product definition.
Currently, PFT uses EnWave's 10kW and 100kW Radiant Energy Vacuum (REV) machinery to manufacture its popular cheese snacks. The expansion is expected to increase manufacturing utilization and may lead to additional purchases of REV machinery in the future, according to a statement from EnWave.
PFT is a subsidiary of Gala Foods, a food business group known for brands such as Patatas Torres and Just This.
EnWave's REV technology, which has been adopted by several global snack manufacturers, continues to gain traction as a solution for producing nutritious, shelf-stable snacks.
Shares of EnWave were on track to close over 23% higher in Canada and 26% higher over the counter on Tuesday.