Shares of Versarien PLC (LON: VRS) rallied 20.5% after signing several agreements with Graphene Lab Co Ltd, a South Korean company specialising in chemical vapor deposition (CVD) graphene.
Graphene Lab then made a £1.93 million strategic investment in Versarien by subscribing for 4.28 million shares at 45p each, representing a 2.2% stake in the enlarged company. The new shares have a 12-month lock-in period.
The agreements between the two companies are related to Versarien’s activities in South Korea. Graphene Lab will exclusively utilise Versarien’s 14 patents in South Korea after acquiring a 5% royalty on all sales due to Versarien.
Ready to put what you’ve learned into practice?
Try IG’s platform with £10,000 in virtual funds and practise trading
without putting your own money at risk.
Try IG with a demo account →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Learn the markets with IG Academy
Build your knowledge with IG Academy educational content, then use a
demo account to practise what you’ve learned on the IG platform.
Explore IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
See how trading works before risking real money
IG’s demo gives you access to thousands of markets and £10,000 in
virtual funds, so you can explore the platform and test your ideas first.
Open an IG demo →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Turn trading theory into practical experience
Learn with IG Academy, explore charts and market tools, and practise
strategies in a simulated trading environment before going live.
Start practising with IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Ready to take your learning further?
IG combines market education, analysis and an established trading platform,
giving you the tools to keep learning as you develop your trading skills.
Discover IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Graphene Lab will also be allowed to use some of Versarien’s trademarks within Korea while paying a 2% royalty on revenues generated to Versarien.
Graphene Lab will acquire a 15% stake in Versarien’s wholly-owned Korean subsidiary Versarien Korea. It will in due course appoint one director to the company’s board, which shall be made up of five directors.
Versarien will acquire a sub-lease at Graphene Lab’s new Korean facilities to install the equipment acquired as part of the acquisition. The two companies have agreed to share their equipment at an agreed daily rate.
Neill Ricketts, Versarien’s CEO, said: “We are delighted to have secured this agreement with Graphene Lab, which will enable us to advance our plans in South Korea, following the Acquisition in December. I am also pleased that our partnership with Graphene Lab has been further reinforced by the stake they have taken in Versarien.”
Adding:
“We are excited by the opportunities for Versarien in South Korea, including for new product developments, and we look forward to providing updates in due course.”
Versarien share price.
Versarien shares rallied 20.5% to trade at 46.30p, having risen from Thursday’s closing price of 38.42p.
