The
information contained within this announcement is deemed by the
Company to constitute inside information as stipulated under
the UK Market Abuse
Regulation
5 February 2024
Sondrel (Holdings) plc
("Sondrel", the
"Company" and together with its subsidiaries the
"Group")
Corporate Update
Sondrel (AIM: SND), a leading
provider of ultra-complex chips for leading global technology
brands, is pleased to confirm that it has received £1.5 million of
payments in relation to the material turnkey ASIC engagement with
its automotive Tier 1 supplier in January 2024, further to the
announcement of 10 January 2024.
As a result, previously deferred
December 2023 Group payroll has been met along with January 2024
Group payroll and certain creditor payments. Discussions with the
customer over resolution of the funding for the project extension
continue and additional payments are expected in the coming months,
assuming completion of the 'tapeout' milestone and including the
balance of £0.2 million.
Significant new ASIC business
opportunities are in final negotiation for project start in early
2024 and indications remain encouraging that European and US market
demand for Sondrel's turnkey ASIC services is strong.
Negotiations remain ongoing with
suppliers to improve the terms of existing supply arrangements but
the Group continues to need to secure additional capital prior to
the end of March 2024 to provide a more permanent solution to meet
the Company's short-term working capital requirements.
Graham Curren, Chief Executive
Officer of Sondrel, commented:
"We have made good progress on the ASIC project with the
automotive Tier 1 supplier. I would like to thank Sondrel's
employees, suppliers and customers for their continued support over
recent months.
"We remain encouraged by the positive development of key
opportunities in our pipeline and we look forward to providing
further updates on new ASIC business opportunities at advanced
stages of negotiation in due course."
For
further information:
Sondrel (Holdings) plc
|
Via
Buchanan
|
Graham Curren, CEO
|
Tel: +44
(0) 20 7466 5000
|
Nick Stone, Interim CFO
|
|
|
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Cavendish Capital Markets Limited
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Tel: +44
(0) 20 7220 0500
|
Ben Jeynes / Katy Birkin / George
Lawson - Corporate Finance
|
|
Michael Johnson - Sales
|
|
|
|
Buchanan Communications
|
Tel: +44
(0) 20 7466 5000
|
Chris Lane
Stephanie Whitmore
|
sondrel@buchanan.uk.com
|
Abby Gilchrist
|
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About Sondrel
Sondrel is a UK-based fabless
semiconductor company specialising in high end, complex digital
Application Specific Integrated Circuits (ASICs) and System on
Chips (SOCs). It provides a full turnkey service in the design,
prototyping, testing, packaging and production of ASICs and
SoCs.
The Company is one of only a few
companies capable of designing and supplying the higher-spec chips
built on the most advanced semiconductor technologies, selling into
a range of hyper growth end markets such as high-performance
computing, automotive, artificial intelligence, VR/AR, video
analytics, image processing, mobile networking and data
centres. Sondrel designs have enabled products by leading
technology brands including Apple (iPhone), Sony (PlayStation),
Meta's (Oculus), Samsung, Google and Sony smartphones, JVC
(prosumer camcorders), Tesla and Mercedes-Benz cars.
Sondrel is well-established, with a
20-year track record of successful delivery, supported by long
standing ecosystem partnerships including Arm, TSMC and Samsung.
Headquartered in the UK, Sondrel has a global presence with offices
in UK, USA, China, India and Morocco.
For more information please
visit: ir.sondrel.com.