Surface Transforms PLC confirmed that it has signed a multi-year agreement to provide carbon ceramic brake discs to a German car manufacturer.
The brake discs manufacturer said it has now agreed a supply and price agreement with the undisclosed firm. Surface Transforms will supply carbon ceramic brake discs to a new car model being developed by the German firm referred as German OEM 5.
The company first announced the deal in July and forecast a lifetime revenue of EUR11.8 million starting in October 2021, with annual revenue at EUR2.0 million per year before tapering off during 2026.
Surface Transforms said it is discussing providing brake disk products to other models in German OEM 5’s range.
Chief Executive Kevin Johnson said: “The conclusion of this contract is another important milestone in the progress of Surface Transforms. We are now focused on bringing our carbon ceramic disc into volume production with OEM 5 in October 2021, a significant customer reference. And of course, in the meantime, working with OEM 5 to extend our supply onto other cars in their portfolio.”
Shares in Surface Transforms were 4.5 percent higher at 20.90 pence each in London on Tuesday afternoon.
