UltraCharge Limited has entered into a Patent Sale and agreement to sell its Electrolyte IP to Singaporean company, SES Holdings, for $700,000.
Of this $700,000 agreement $665,000 will be paid in cash while the remaining $35,000 to be held back should there be any errors regarding the patent.
In November 2017, UltraCharge received the acquisition of the IP which included a high-performing and low-cost electrolyte solution for lithium-ion batteries (LIB) which are rechargeable and require anode, cathode and electrolyte solutions to work.
The main aim is to reduce the slow charging time, limited lifetime and safety restrictions which are currently associated with LIB.
To achieve this UltraCharge replaces graphite used with its nanotube gel material which is made from titanium dioxide. This is a common, cheap and safe material that is currently used as food additives and in sunscreens to absorb ultraviolet rays.
This process is believed to reduce charging time in smartphones to under six minutes, increased charging cycles and overheating be significantly reduced.
Commitments have also been received to issue 183,333,333 fully paid shares at $0.003 per share to raise $550,000. A remaining 36,666,666 shares will be released later on at $0.008 per share and will expire after three years after issue.
The money raised will go towards working capital and the funding of the delivery of batteries under its Blitz and Roadix contracts.
Roadix Transportation is an Israeli based transport manufacturer that specialises in three wheeled electric scooters.
This contract will allow for UltraCharge to design, develop and manufacture a lithium-ion battery that will be fully compatible with Roadix’s products. The batteries are believed to deliver more power, speed and sustainability for the scooters.
“This contract with Roadix is another significant milestone for our cobalt-free, high voltage, lithium-ion battery solution and clearly demonstrates UltraCharge’s ability to customise solutions for specific end-user requirements,” UltraCharge CEO Kobi Ben-Shabat said.
The sale with SES Holdings is expected to be completed by May 26.