Following a week long trade mission organized by the US-China Clean Tech Center and US Department of Commerce in July 2013, Dais Analytic Corporation, a US nanotechnology materials and process company, obtained a long-term agreement with an industrial partner in China in January 2014. US-China Clean Tech Center is a Market Development Cooperator Program partner with the US Department of Commerce dedicated to expanding US clean technology exports in China. With the joint venture between Dais and the Chinese firm, first year revenues are anticipated to be greater than $7M (USD). The Chinese business partner was directly introduced to Dais through one of US-China Clean Tech Center’s Chinese partners.
Tim Tangredi, CEO of Dais recognized the US-China Clean Tech Center service by commenting, “Its taken a large body of work to get our materials and processes validated by third parties to attract a quality partner’s interest in the large energy and water markets in China. The strong ‘country and industry’ support from the US Commercial Services team in Beijing along with the folks at the US-China Clean Tech Center (UCCTC) is nothing short of brilliant. We now have a recognized, in-country manufacturing and channel partner actively planning to sell our nano-material products as early 2Q ཊ. Our expectation – as we see the relationship and markets – is Dais could see revenues in the $7M range for the first calendar year”.
According to Dais’ press release, the highlights of the agreement are as follows:
– Dais and SOEX (Hong Kong) Industry & Investment Co., Ltd., (an affiliated company of SOEX-Beijing) have signed an agreement where Dais sells 37.5 million shares of the Company’s common stock in exchange for $1.5 million of growth capital, at $0.04 per share. Full payment to Dais is to occur on or before March 3, 2014. The Company has received the initial payment of approximately $50,000.
– SOEX, as part of the equity purchase, entered into a voting agreement with Dais which finds SOEX agreeing to vote as recommended by the Dais’s board of directors for a one-year period beginning on the date the shares are issued to SOEX.
– Dais plans to use the proceeds from the sale of the Common Stock for working capital, business development in other targeted areas, general business purposes, and to pay its portion of the $160,000 of the registered capital required to set-up the China venture (tentatively named ‘Dais-SOEX’) in which Dais is projected to hold 65% ownership.
– Dais-SOEX is being incorporated in China with SOEX providing the projected funding of approximately $4M. This sum is to be used by Dais-SOEX, at a minimum, to pay up-front licensing and distribution fees to Dais, retain and compensate Dais-SOEX employees and consultants, provide the required facilities and infrastructure to manufacture, sell, and create brand awareness for the ConsERV product and Aqualyte™ materials for cleaning contaminated water to existing Dais and SOEX distributors while adding newer distribution channels as needed through-out greater China. Aqualyte materials have been demonstrated to separate most forms of contaminants from water (industrial waste, high salinity, heavy metals, pharmaceuticals, etc.) to a ‘near parts per billion’ level removing 90% plus of all contaminants on the initial pass.
– Dais and SOEX shall complete the negotiations of a master distributor agreement with a SOEX-designated entity, and a license and supply agreement for Dais-SOEX inside the next two months for the purchase and sale of ConsERV and Aqualyte materials for ventilation air, and clean water applications. The Parties have agreed these documents will contain normal commercial terms and conditions (including sales minimums and uses of intellectual property). The SOEX designated entity will built ConsERV cores and systems in China for sale to customers in Greater China.
Regarding the joint-venture, Tim Tangredi, CEO of Dais commented, “The Dais team has a solid, experienced partner in SOEX. They possess top-notch and time tested quality manufacturing experience, have deep channel presence, have demonstrated success in branding their products, and have eager willingness to work closely with Dais’s existing in-country distributors. Our technologies will have a professional in-country presence keenly important to promoting growth given the subtleties of doing business in China and the burgeoning markets we are targeting. The design of the Dais-SOEX entity is projected to provide long term sales and revenue growth for Dais by selling it our proven Aqualyte nanomaterial, having in-country manufacturing and sales support, and having access to the skills and contacts of the SOEX team. We are truly delighted with this growth opportunity.”
SOEX – Beijing’s earliest incorporation was in 1996 with its first company. Its Panelwell construction materials business is now an industry leader in hollow profile ‘Penelwell” line of materials built around a variety of high quality plastics notably polycarbonates. Its distribution access is strong within China including long-term relationships with key Chinese design institutes. SOEX-Beijing sells its products and services in the Chinese markets as well as key international markets. Behind the success of Penelwell is SOEX’s many years of machine designing and manufacturing experience.
About Dais Analytic Corporation
Dais Analytic Corporation (OTC.BB: DLYT – News) is commercializing its innovative Aqualyte™ family of nano-structured materials and processes focusing on evolutionary or disruptive air, energy and water applications. The uses include:
– ConsERV™, a commercial engineered energy recovery ventilator (an HVAC product) useful for efficient management of ventilation air’s temperature and moisture content using the energy found in the outgoing ‘stale’ air stream to pre-condition the incoming fresh air saving energy, lessening CO2 emissions, and allowing for HVAC equipment downsizing;
– NanoClear™, a beta-stage method for treating contaminated water (sea, waste, industrial) to provide 1,000 times cleaner potable water; and;
– NanoAir™, an early beta-stage water-based cooling cycle using no fluorocarbon refrigerants that replaces the existing vapor compression cooling cycle in most forms of air-conditioning and refrigeration, saving a projected 50% in energy and CO2, and;
– NanoCap™, a prototype stage energy storage device which holds promise to use the Aqualyte™ family to form a disruptive non-chemical energy-storage device (an ultra capacitor) for use in transportation, renewable energy, and ‘smart grid’ configurations.
Each use demonstrates the diversity of Dais’ core product – Aqualyte™ – a family of nano-structured polymers and engineered processes having a focus on minimizing consumption of irreplaceable natural resources, and ending the degradation of our environment. To find out more about Dais please visit www.daisanalytic.com, and to learn more about ConsERV please visit www.conserv.com.