The business concept of NovaCast Technologies, which is listed on NASDAQ OMX Stockholm Small Cap Nordic, is to offer the automotive industry and its subcontractors products and systems that enhance the efficiency of their production processes.
The focus is on two primary areas of development: the patented Camito technology, which develops and sells tool casings manufactured using an independently developed and patented casting technology, and operations in the Graphyte product area, which develops and markets advanced process-guidance systems for the serial manufacturing of automotive castings in compact graphite iron, mainly for engine blocks and cylinder heads for diesel engines.
“This is a key industrial investment. The company’s processes and products considerably shorten lead times in the development of new vehicle models. Fouriertransform foresees major potential since current lead times from concept to finished vehicle models and functions involve a high cost burden and are so time consuming that the risk for vehicle manufacturers becomes disproportionally large,” says Per Nordberg, CEO of Fouriertransform.
“We are highly pleased to gain Fouriertransform as a strong, long-term owner in NovaCast. Fouriertransform’s focus is entirely in line with what NovaCast represents. NovaCast will now gain work security and can continue to focus on its projects, particularly in the Camito technology,” says NovaCast’s CEO, Hans Svensson.
NovaCast Technologies’ Board of Directors decided on a rights issue to Fouriertransform AB. The issue which will be paid in cash is subject to approval at an Extraordinary General Meeting, makes Fouriertransform the single largest individual NovaCast shareholder.
“Using the SEK 40 M that Fouriertransform will provide, NovaCast can rapidly continue to complete the activities and major projects in the automotive industry that the company has undertaken,” says Bo Hedenström, Chairman of Novacast Technologies.
Fouriertransform AB (FTAB) is a venture capital company founded and owned by the Swedish state for the purpose of investing in companies in the automotive industry. FTAB has a commercial focus and its investments are expected to generate a long-term market-based return.
NovaCast Technologies, listed on the OMX Nordic Exchange (NCAS B), develops and markets enhanced castings for the production of car body parts, as well as software for manufacturing, simulating and process control for more efficient production processes to the global automotive industry and its subcontractors. With the Camito technology enhanced castings are manufactured in one solid piece for the production of dies for forming stamping automotive body components in a considerably shorter time than traditional dies. Through die manufacturer SwePart the group has expertise within the whole value chain for the production and sales of stamping dies.
For further information:
Per Nordberg, CEO Fouriertransform AB, Tel +46 702 340 095
Hans Svensson, CEO NovaCast Technologies AB, Tel +46 705 652 250
www.fouriertransform.se
www.novacast.se
Last updated
2010-06-03