First published in Cleantech magazine, May 2010. Copyright Cleantech Investor 2010.
Reviews of some of the UK Quoted companies with innovative solutions for the built environment, by Andrew Hore
Pentagon Protection
Code: PPR
Share Price: 0.210p
12 month high/low: 0.785p/0.2p
Market Cap: £1.7m
www.pentagonprotection.com
AIM-quoted Pentagon Protection supplies transparent films that can be applied to windows in order to improve security and increase energy efficiency. One example of these products, which are retrofitted, is the InfraMax LX70 heat reduction film. Used to improve energy efficiency and reduce energy costs (tests suggest a decrease in energy costs of 25%), it can also reduce the amount of UV rays coming into the building. One attraction of this type of film is that it can be used on listed buildings without affecting their appearance, whilst at the same time increasing the windows’ blast resistance.
Eaga
Code EAGA
Share Price: 135.5p
12 month high/low: 160p/113.5p
Market Cap: £340.7m
www.eaga.com
Fully-listed Eaga provides a range of services, including insulation, heating systems and boiler replacement, to make buildings more energy efficient. The company also supplies managed services that help its commercial and residential customers to reduce their carbon usage. A number of Eaga’s energy efficiency products are designed specifically for the home, including the Eaga ShowerSmart. This regulates the water flow of showers without altering the pressure, thereby saving both water and the energy used to heat it. Eaga’s energy monitors identify appliances that use the most electricity and minimise wasteful use of energy.
Hightex
Code HTIG
Share Price:7.625p
12 month high/low: 9.375p/3.625p
Market Cap: £14.3m
www.hightexworld.com
AIM-quoted Hightex designs and manufactures membrane roofs and façades used for shopping centres, stadiums and transport terminals. Projects include the retractable roof at Wimbledon, the roof of the Grandstand at Ascot and the Dolce Vita shopping centre in Lisbon. The membranes can be designed for varying requirements from light transmission to thermal efficiency, and can also encompass thin film solar cells. In addition Hightex has developed solar cooling technology through its SolarNext subsidiary.
Sabien Technology
Code SNT
Share Price: 60.5p
12 month high/low: 71.5p/5.2p
Market Cap: £19m
www.sabien-tech.co.uk
AIM-quoted Sabien Technology develops products that improve the efficiency of boilers and air conditioning units. Boilers tend to turn on and off more than is really necessary: fitting the company’s M2G system to a boiler improves its efficiency and prevents this unnecessary energy use. Sabien claims that gas consumption can be cut by between 10% and 25%, resulting in a payback period from the investment of less than two years. Air conditioning can account for up to half of the electricity consumption in a building. Sabien’s M3G is an electronic memory-based control unit which is used to evaluate the inefficiencies of air conditioning. Following an assessment of temperatures, the unit determines the most efficient use of the air conditioning compressor. The M3G should also extend the lifetime of the compressor by ensuring its lower usage.
Romag
Code ROM
Share Price:
12 month high/low:
Market Cap:
www.romag.co.uk
Romag supplies solar panels through its PowerGlaz BIPV (building integrated photovoltaic) range of products, which can be used to take advantage of the recently launched UK feed-in tariffs for micro-renewable energy technologies. PowerGlaz has distribution agreements with British Gas and Kingspan. Romag’s core business is the supply of architectural glass and glazing products that offer a reduction in heat loss as well as keeping excessive heat from the sun out of buildings.
VPhase
Code VPHA
Share Price: 2.375p
12 month high/low: 8.5p/2.375p
Market Cap: £16.6m
www.vphase.com
AIM-quoted VPhase has developed a voltage reduction and regulation technology that stabilises the voltage used in homes at around 220V. Incoming voltage from the electricity grid tends to vary and can be much higher than necessary: the normal range is 216V to 253V. By maintaining the voltage at a lower level, VPhase’s technology can help homeowners to save money on power. The company has sold more than 400 units of its VX1 voltage optimisation product. Although the trial of VX1 with Scottish & Southern Energy (SSE) has been delayed, VPhase has already won an initial contract with a social housing organisation. Following SSE’s satisfaction with the result of the trial, which house broker Ambrian believes could be completed by the third quarter, the VX1 could start to be rolled-out.
Cinpart
Code CINP
Share Price: 12p
12 month high/low: 21.rp/6.25p
Market Cap: £10.4m
www.cinpart.com
Cinpart owns 72% of Active Energy, which has developed the VoltageMaster voltage optimisation product, used to reduce and stabilise the voltage of electricity supplied to factories, offices and hospitals. According to Active Energy, the VoltageMaster can cut electricity consumption by up to one-fifth in some cases. Active Energy has won a contract with the Ministry of Justice to install the VoltageMaster in 52 courts. A relationship with Southern Electric Contracting provides support for the installation of VoltageMaster and could bring new sales opportunities.
Nanoco
Code NANO
Share Price:98.5p
12 month high/low: 116p/34p
Market Cap: £181m
www.nanocotechnologies.com
AIM-quoted Nanoco is one of the world leaders in quantum dot technology. Quantum dots are tiny particles of a semiconductor material, which emit photons under excitation that are visible to the human eye as light. The amount of light emitted depends on the size of the quantum dot. Quantum dots offer advantages over phosphors used in other LED lighting technology, including improved colour performance. Furthermore, quantum dot LEDs used in lighting should last up to 20 years at a normal rate of domestic use. The initial contracts are in LCD TV backlighting, with street lighting, signage and traffic lights being other potential uses. The second commercial sector is likely to be in solar cells. Many types of quantum dots use cadmium, but Nanoco is able to produce cadmium-free quantum dots which comply with the latest regulations on electronic components using hazardous substances.
Sagentia
Code SAG
Share Price: 38.75p
12 month high/low: 38.75p/38.75p
Market Cap: £8.4m
www.sagentia.com
www.hdled.co.uk
Technology development company Sagentia has developed high definition LED lighting technology in combination with Yorkshire-based medical lighting firm Brandon Medical. This technology enables LED lighting to have full spectrum colour rendition, red balance control and adjustable light beams. The lighting uses less than one-third of the energy of medical lighting using tungsten halogen bulbs, and reduces CO2 by an estimated 1.25 tonnes per year per operating theatre. AIM-quoted Sagentia won the best LED Lighting Application at the Elektra 09 European Electronics Industry Awards at the end of 2009. Sagentia retains the rights to the technology - and there are other potential uses, such as retail display lighting, film lighting and architectural illumination.
Dialight
Code DIA
Share Price: 225p
12 month high/low: 284.5p/113.25p
Market Cap: £80.6m
www.dialight.com
Fully listed-Dialight is one of the world leaders in LED technology for industrial and commercial use. The main markets for the company’s technology include architectural lighting, illuminations, obstruction lights and traffic lights. Dialight is growing on the back of the increased adoption of LED lighting technology in its market niches. Although still at an early stage, there is also some interest in LED street lighting, whilst hazardous lighting for the oil and mining sectors is another niche. Dialight paid £3 million in cash and shares for Denmark-based BTI Light Systems, which supplies obstruction lighting and aids to navigation for the marine, wind and airport sectors. The acquisition enhances Dialight’s position in the European offshore wind obstruction lighting market.
Enfis
Code ENF
Share Price: 10.5p
12 month high/low: 95p/10.5p
Market Cap: £1.6m
www.enfis.com
AIM-quoted Enfis, which was spun out of Swansea University in 2001, designs, develops and manufactures high brightness LEDs for solid state lighting. The company has decided to target its sales towards upmarket lighting fixture and equipment manufacturers. This should ensure substantial sales over a number of years once Enfis’ technology has been designed-in to the manufacturers’ products. Enfis, which will specialise in the light engine part of the system, is trying to reduce costs of production and increase functionality, thus opening up new sectors where the company’s technology was previously too expensive. Target markets for Enfis will be entertainment (film and theatre), medical, architectural and high end retail lighting.
Eruma
Code ERU
Share Price: 0.685p
12 month high/low: 2.125p/0.575p
Market Cap: £1.3m
www.erumaplc.com
AIM-quoted Eruma is a security systems company that also supplies emergency lighting under the Illuminex brand using the latest LED and battery technology. This means that, unlike fluorescent tubes, the lights contain no hazardous substances. In addition, 90% of the components are recyclable. According to Illuminex, its Xscape lighting system uses lights which are 40 times brighter than conventional LEDs and have a lifetime of 60,000 hours. Illuminex recently won a £379,000 contract with Bristol Airport, which covers emergency lighting and lighting management systems. The company claims it will be able to reduce the airport’s energy costs by 45%, which means that the customer will recover its investment within three years.
IQE
Code IQE
Share Price: 17.75p
12 month high/low: 20.75p/8.5p
Market Cap: £78.8m
www.iqep.com
AIM-quoted IQE is an outsourced epitaxial wafer manufacturer. Epitaxial wafers can operate at faster speeds and higher temperatures than conventional wafers and consume less power. Newer markets include LED lighting and solar. IQE works with Enfis, among others, on solid state lighting products. A recent acquisition gave IQE the expertise to supply the wafers needed for manufacturing ultra high brightness LEDs for solid state lighting. IQE is also involved in the development of third generation solar - concentrator photovoltaic (CPV) - which is estimated to be twice as energy efficient as silicon and thin film solar technologies. IQE believes that demand for its wafers for solar use will increase by 50% per year.
