Clean energy specialist Acta dragged itself away from its 52-week low after it said it is set to get a major revenue boost after bagging a new customer for its hydrogen generating technology.
The company has signed a development and commercial supply agreement with Asia Pacific Fuel Cell Technologies (APFCT), a Taiwanese fuel cell product mamufacturer, for the development and supply of light electric vehicle refuelling stations, which will use Acta's technology.
The AIM-listed company will help APFCT integrate Acta's hydrogen generation stack technology into APFCT's current electrolyser-based refuelling system for light electric vehicles, including fuel cell scooters. Thereafter, Acta will supply the stacks and related control electronics to APFCT for the production of refuelling systems.
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The parties have already begun the joint commercialisation of the system, and APFCT has committed to the purchase of a minimum of 375 stack units over the first eighteen months from certification, which is expected to be completed within the first quarter of 2012, to maintain exclusivity for the application.
Based upon the size of stack units to be purchased and the current product pricing, the purchase commitment is expected to have a minimum revenue value to Acta of €700,000 to €900,000 during 2012 through to the end of 2013, with strongly positive gross margins.
To put that into perspective, Acta's total revenue in 2010 was €7.91m.
The new agreement follows hot on the heels of Monday's announcement of a development and commercial supply agreement with Chalumeaux et Bruleurs Industriel Lefevre for the development and supply of portable welding equipment based on Acta's oxygen-hydrogen generator stack technology.
That deal is expected to generate around €1m in revenues for Acta in 2014.
Equity Development, a research house focused on smaller companies, said "Actas focus this year on its hydrogen technology is certainly bearing fruit, with two applications now backed up by commercial agreements and ready to move into revenues during 2012."
Equity Development analyst Denis Gross predicted that, given the level of interest currently being demonstrated in the companys technology, further commercial announcements can be expected to follow.
The shares rose 2.38p to 8.25p on the morning of the announcement.
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