Yorkshire cleantech to cut workforce while seeking £10m funding to move to license model
A provider of water saving and filtration technologies has announced it is seeking to raise between £5m and £10m of equity funding to move to a license model.
Xeros Technology Group, which is based in South Yorkshire, has confirmed that it will exit direct sales and physical supply chains.
It is anticipated that jobs will be cut as part of the Rotherham firm’s transition to a “pure-play” licensing business.
Mark Nichols, chief executive of Xeros, commented: “The business case for our technologies continues to increase as the scarcity and pricing of water rises with consumption progressively outstripping availability in many parts of the world.
“It has been a challenging journey to this point, given the maturity and size of the industry players we have to convince to adopt our technology. However, we have now reached an inflection point in the implementation of our strategy to become an asset-light IP-rich licensing business.
“Our focus for the rest of the year is to complete our exit from all direct sales businesses, win further licensing contracts and implement those already awarded. Our cost base has and will continue to move down to that required for a successful high margin licensing business.”
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