Super-capacitors specialist Cap-XX Limited (LON:CPX) has signed a technology licence agreement with US manufacturer of electronic passive components and interconnecting solutions AVX Corporation.
AVX is licensing Cap-XX's patents on a non-exclusive basis for a range of prismatic and cylindrical super-capacitor sizes.
The UK firm expects to receive licence fees in advance over a three year period plus a 5% royalty for the life of the patents, based on the number of sales AVX racks up of products that use Cap-XX's intellectual property.
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The last of the Cap-XX patents granted expires in 2029, Cap-XX revealed, while new patents applied for by Cap-XX will extend this date beyond 2029 once granted.
The initial licence fees receivable by Cap-XX for the first twelve months will be a minimum of £1.26 million, with payments in subsequent years being subject to AVX maintaining the licence.
“This licence agreement again highlights the value of our intellectual property and will provide significant additional momentum to the adoption of Cap-XX super-capacitors in numerous very high volume applications across the globe," said Anthony Kongats, chief executive of Cap-XX.
Shares in Cap-XX rose 16% to 4.51p on the news.