QMA/GTG China/Funded Production Agreement & Insigh
Post# of 22454
GTG and QMA Report 150 Million RMB Investment by China Government Guidance Fund and Siting of Production Facilities in Beijing and Changde Economic Development Zones
By Globe Newswire, January 30, 2017, 07:00:00 AM EDT
HONG KONG, Jan. 30, 2017 (GLOBE NEWSWIRE) -- The Guanghui Technology Group (GTG) and Quantum Materials Asia Co., Ltd., (QMA), a joint venture of GTG and Quantum Materials Corp (OTCQB:QTMM), today reported an investment by the China Government Guidance Fund of 150 Million RMB ($21.8 million) in GTG and QMA. Quantum Materials Asia was originally established in Hong Kong in September 2016 with registered initial capital investment of 100 million RMB (US$14.4 million).
QMA will build two Quantum Dot production line and application development centers in the Beijing and Changde Special Economic Development Zones. The advantages to QMA of siting the facilities in these locations beyond proximity to clients includes a full refund of the land purchase cost upon facility completion as well as a five year state tax exemption.
Both facilities will utilize Quantum Materials Corp's proprietary high-volume continuous-flow quantum dot manufacturing technology to produce heavy metal-free quantum dots in consistent and scalable volumes. Embedding quantum dot production regionally will allow QMA to customize QD characteristics and optimize manufacturing efficiencies and supply chain logistics to meet the needs of major display component manufacturers in the region. Construction on both facilities will start in the third quarter of 2017.
"We are pleased to report that we have secured the funds necessary to move forward with building both QMA production facilities," said GTG CEO and President Mr. Xiao Liu. "Upon completion we expect rapid growth of QMA as we bring production online to meet both current demand for quantum dots from display manufacturers as well as demand in emerging applications such as solar power generation."
"We applaud both the Chinese Government Guidance Fund and GTG for bringing forward this timely investment to secure the land and resources required to build out both application development and quantum dot production facilities," said QMA President and Quantum Materials Corp Chairman and CEO Stephen A. Squires. "The Beijing and Changde Special Economic Development Zones are prime locations in which to work closely with regional manufacturers and also offer significant economic benefits to our growing presence in Asia."
ABOUT QUANTUM MATERIALS ASIA CO., LTD. (QMA)
QMA is a joint venture formed in Hong Kong in September 2016 by North American quantum dot manufacturer Quantum Materials Corp and Hong Kong-based Guanghui Technology Group ("GTG" to leverage GTG's management and investment expertise and Quantum Materials' proprietary high-volume continuous flow quantum dot manufacturing technology to supply Asian display manufacturers with a regionally-based high quality source for advanced quantum dot and nano-materials. For more information please go to http://www.qmadots.com/
ABOUT GUANGHUI TECHNOLOGY GROUP
Guanghui Technology Group (GTG) is Financial Advisory and Services Company aiming at assisting advanced technological companies to enter into China market. GTG's founding partners and affiliates have contributed to a number of high-profile government and industrial funding projects including multi-billion dollar fund raising into BOE as well as large scale international M&A in solar energy sector, also involved in a number of strategic investment projects in diversified fields such as Lighting, Li-ion battery, Biomedical and Security, etc. GTG CEO & President Mr. Xiao Liu is widely regarded as an honorable financial expert by in the Chinese investment community. Mr. Liu manages over US $40 billion annually. He has partnered with Dr. Michael Nobel of the Nobel Sustainable Development Foundation to form an incubation fund for investing in next-generation technologies including life science, biomedical and advanced materials field. Most recently, Mr. Liu signed a collaboration agreement to manage a newly-created government-driven fund of US $431 million for investing into international businesses in December 2016.
ABOUT QUANTUM MATERIALS CORP.
Quantum Materials Corporation (QMC) develops and manufactures quantum dots and nanomaterials for use in display, solar energy and lighting applications through its proprietary high-volume continuous-flow production process. QMC's volume manufacturing methods enable consistent quality and scalable cost reductions to provide the foundation for technologically superior, energy efficient and environmentally-sound LCD UHD displays, the next generation of solid-state lighting and solar photovoltaic power applications. Wholly-owned subsidiary Solterra Renewable Technologies develops sustainable quantum dot solar technology. In 2015, QMC entered into an agreement with Uniglobe Kisko Inc. for distribution of advanced QMC quantum dot and related nanomaterials. For more information follow Quantum Materials Corp at www.QMCDOTS.com.
CONTACTS:
Toshi Ando, Senior Director of Business Development
510.300.4021
toshi@qmcdots.com
Media:
Rich Schineller
941.780.8100
rich@prmgt.com
Article Link:
http://www.nasdaq.com/press-release/gtg-and-q...z4XFPwp2bw
QMC entered into an agreement with Uniglobe Kisko Inc. for distribution of advanced QMC quantum dot and related nanomaterials.
Link to Uniglobe Kisco Distributorship http://uniglobekisco.com/products/quantum-dots
A series of posts Explaining QMC's Present & Future Revenue Prospectus 2/17/17
By Art Puravida19 1 of 5
The next 10Q. So unimportant, it's funny
I think the old regime screwed up and potentially set the company back, and Squires came back to solve a number of problems, the main one being the plan for creating preferred shares which might leave common shareholders in a bad position. If that is so, Squires saved the small investors, and is owed thanks. No doubt most of December was spent making it happen, which means other profitable activity could not get done.
All personnel decisions are always private and internal to the company. The most that is said is that the employee left "to pursue other opportunities" or "we wish him well in retirement". That's what you hear if there was a good split. If it is a bad split, nothing is said. The company adheres to, "If you can't say anything good about a person, don't say anything". Good advice for all of us. So odds are we do not hear why people left QMC. It was not a good split, IMO.
There is a possibility of more revenue last quarter than the quarter before, but it is totally irrelevant because most likely reflects small sales of QD, which is not QMC main business, and so, nothing to get excited about. QMC main business goal is incredibly large sales to very large electronics manufacturers, and that is yet to come because it would need to be reported, as it would be something that materially affects the business and the stock. They have 4 business days to report such an agreement.
So don't get upset if there is not much about the board change, some ex-employees, or revenue. It happened, its over, and what's happened since then is incredibly exciting -
Why I am excited about what's happened this current quarter -
The stock price doubled despite all of the above and is maintaining its price on a plateau. The China partner doubled down on QMA, increasing investment and facilities. How could those things happen to QMC?
The most important, longest tenured employees are still on the job and they are excellent at what they do. They produce quantum dots of the highest quality, using automated equipment, so they are also the lowest price quantum dots, and they were able to manufacture a heavy-metal free quantum dot film for CES 2017 for CES 2017 that got shown to QD Display Manufacturers.
The new management, headed by company founder Steven Squires has continued for over two years to grow Quantum Materials Asia, culminating with the January 30 2017 PR explaining the new $21.8 million investment in addition to the $14.4 million at company start in 2016 and the increase from one to two R&D And Production Centers, one near Beijing and the other in the south of China. In the GTG company section of the PR it said "GTG CEO & President Mr. Xiao Liu is widely regarded as an honorable financial expert by in the Chinese investment community. Mr. Liu manages over US $40 billion annually."
QMA is in excellent financial position to grow and QMC is due fifty percent of QMA profits.
QMC is still working with Display Manufacturers outside of China. No one wants to be left out of a potential $4 billion market in 2020. So they have or will come to QMC to talk. QMC is the only company capable of producing the quantity needed, and most importantly, with consistent quantities and a reliable supply, the two things necessary before $100s of millions are invested by a manufacturer in a production line.
So that's why I am excited by the future, and willing to discount the recent past.
The sky has not fallen, instead I look up and see a bright, sunshiny day.
The future's so bright I have to wear shades.
This is not investment advice of any sort, only my opinion, so do your own due diligence.
By Jamis 2 of 5
I've had no expectations for explanations for board member departures. I've stated as such. Employee departures are always confidential as to the reasons. I've made this argument a couple of times in the past month to those asking for an explanation. That's why I'd like to see the 10Q, even though it will not have info about previous employees, the numbers still tend to tell a story.
As for me, I've got my shades on!
By Art 3 of 5
think the PRs represent the company better
I don't think the 10Q will reflect the state of the company.
We forget that only a month ago Mr. Ando was showing
our own QMC film at a suite at CES, and that this is a
major accomplishment that all Display Manufacturers
needed to see to validate we could produce a viable
film so that they will enter into agreements with us.
If those talks are going on now, we won't see them
in the 10Q, but that is what I think is the natural
course of events from showing our QD film and
that is what I give importance to now.
I don't know how anyone can see the January 30 PR
as anything but a blockbuster statement on QMA.
If the lag in investment that caused the stock price
increase is a result of smart money taking a good
look at a penny stock before investing, I can see
that. Its not just traders, because they would all
be out by now.
Besides the shades, don't forget to buckle up,
its going to be a wild ride.
By Jamis 4 of 5
Just to play the devils advocate, there are two major items some have mentioned, one particularly since the share price went up.
1) revenue from sales of qdots
QMC has shown no revenue from qdot samples for displays to date. They did get money from Nitto Denko for the joint development agreement. I don't like to belittle any amount of revenue from qdot sales. Any amount of sales of qdots for displays will be a validation to most that QMC dots have value. That alone will help share price and help remove some perception of risk regarding QMC as an investment.
2) last 10Q indicated cash reserves were getting low. Any indication otherwise by QMC in the 10Q to state cash is good for another quarter or two will be seen by most as a positive. Otherwise, they have to tap into the financing deal and start selling shares now that the share price is over $0.12. Some want to think that the share price rise this week was a promotion to get to the point for funding. I personally don't think that, but some do and their opinion won't change until QMC shows otherwise. PRs on progress toward commercial success are great, but without funds to maintain operations, business stops!
Even though I'm confident in my investment at this point, I try to keep a wider perspective and evaluate other's perceptions. Not everyone has their shades on like you and I!
By Solar Exp 5 of 5
PV19/Jamis some great posts by both of you. Put (5) posts in Ext Stickies. The next few quarters are crucial seeing progress and revenue from the China Venture and Japan respectfully, which will solidify QMC as a valuable entity and enterprise going forward.