News: Xeros technology set to be used by well-known electronics brand

Xeros Technology Group plc, the Rotherham-based creator of technologies that reduce the impact of clothing on the planet, has signed a Letter of Intent with a major electronics distributor for its microfibre product.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has created a number of technologies, such as the use of polymer beeds in washing and filters to collect microplastics.

Xeros has signed with a major electronics distributor for an initial order of the XF3 external microfibre plug and go filter. This will see it placed into several major retail outlets, initially in the UK under a well-known electronics brand, towards the latter part of 2025.

An update to the stock exchange added that "further discussions for orders of XF3 with some of the World's largest electronics brands and distributors are progressing well, with other partnership announcements anticipated in early Q3."

Interest in the Group's fabric care technology is gaining further momentum globally. The group recently entered into a paid-for technical verification process with a leading global washing machine brand. Tech verification is a proof-of-concept process, which precedes a Joint Development Agreement (JDA), and typically takes around six months to complete.

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Tech verification processes are taking place with four of the world's largest washing machine companies as regards the fabric care technology. Of these global brands, two are in final stage evaluations ahead of signing a JDA, which would aim towards a commercial launch during 2026.

Xeros said that "this growing momentum is testament to the potential for the Group's technology to revolutionise washing machines and garment care."

Under an existing licensing agreements. IFB Industries Limited, the largest washing machine manufacturer in India, is expected to launch of a fabric care enabled domestic washing machine range later this year.

Xeros also works in the huge garment finishing sector, where a deal with Yilmak, has been delayed into the next financial year.

Moving to an "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications, Xeros raised £5.5m to provide working capital and enable to execute its high profile contracts in 2024. The board expects to achieve revenue of approximately £2.5m in the current year, though this does not include the significant upside potential of additional revenue opportunities from the numerous discussions we currently have underway.

Neil Austin, CEO at Xeros, said: "The importance of our discussions with these major global players should not be underestimated. A JDA with any one of these could be potentially transformational for the Group, opening the door for others to follow. The washing machine industry is ripe for innovation and change. Existing washing machines have remained largely the same for 40 years and there is pressure on leading OEMs to innovate to secure future sales and market share, as well as meeting upcoming environmental regulations."

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News: Xeros to raise up to £5.5m

Xeros Technology Group plc, the Rotherham-based creator of technologies that reduce the impact of clothing on the planet, is in the process of raising £5.5m to provide working capital and enable to execute its high profile contracts.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has created a number of technologies, such as the use of polymer beeds in washing and filters to collect microplastics.

Moving to a to an "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications, making money has proved tricky following around £150m in investment, with breakeven expected during the second half of this financial year with "addressable global market opportunity of c£40m-£50m pa in revenue terms to Xeros in the medium term."

Confirming the investment, secured from share placing, Xeros said that license agreements were in place with five manufacturers of garment washing/processing machines, three major European manufacturers of components for the machine supply chain and direct commercial discussions with six of the top ten global washing machine manufacturers.

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The Placing and Subscription will raise gross proceeds of £4.5m in aggregate, with up to an additional £1m being raised through the Retail Offer to allow Shareholders to subscribe alongside the Placing.

Net proceeds of the Fundraising will be used to strengthen the Company's balance sheet, enabling execution of current contracts, pursuit of global opportunities and to provide reassurance to contract counterparties, provide working capital as the Company advances commercialisation of its Core Technologies, provide contingency against timing of royalty income and operational cash flow break-even, and, as appropriate, scale operations and accelerate development of other markets and applications for the Company's IP.

Neil Austin, CEO of Xeros, said: "Our technology solutions drive significant cost, energy and water efficiencies for our customers while reducing pollution in both the manufacture and laundering of clothing.

"The fundraise puts the Group in the strongest possible position to execute its commercialisation strategy, which is focused around high-margin licence fees and recurring consumable revenue.

"I would like to take this opportunity to thank investors for their continued support at this exciting time for Xeros."

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News: Xeros dyeing to change the world

Xeros Technology Group plc has signed a deal with one of the largest manufacturers of garment finishing machines in the world that will help to reduce the environmental impact of new jeans.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has created a number of technologies that reduce the impact of clothing on the planet.

Trials carried out on the AMP using polymer beads demonstrated that Xeros can process denim jeans from their raw state to a finished product in a single machine in a continuous process at scale. The results were achieved with ultra-low chemistry, water ratios and effluent.

The latest deal is a technology license and distribution agreement for its garment finishing technology with KRM Tekstil Boya San. Tic Ltd.

Under the terms of the ten year, worldwide non-exclusive agreement, KRM, which will act as a global distributor for Yilmak Makine, is licensed to distribute and sell machines manufactured by Yilmak incorporating Xeros' proprietary XDrum and XOrb technology for use in denim processing, garment finishing and garment dyeing processes across Yilmak's full range of garment finishing machines.

Yilmak, headquartered in Istanbul, Turkey, was established in 1968 and is one of the largest manufacturers of garment finishing machines in the world. It exports to more than 35 countries globally and supplies machines to over 500 factories.

The agreement allows Xeros to significantly increase its market access into new territories including Europe, Brazil and Mexico as well as strengthen its current access into Asia. The Agreement has the potential to deliver substantial revenues over the 10-year term. The textile machinery market is estimated to be worth $52 billion by 2033.

Approximately 2 billion pairs of jeans are manufactured globally every year and Xeros' technology significantly reduces the volume of water, chemistry and cycle time used in the finishing processing of raw denim jeans into consumer products.

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Neil Austin, CEO of Xeros, said: "The apparel industry is estimated to consume over 93 billion cubic metres of water every year in the production of clothing.2 In an industry under increasing pressure from both consumers and legislators to reduce its impact on the planet, technologies like ours can make a significant impact. We are very pleased to have signed a further contract with like-minded partners that enables us to continue bringing our technologies into the global market."

On other fronts, Xeros is expecting a business boost for its XFilter technology from new legislation having signed a number of global deals this year.

In a recent updat, Austin added: "Currently, the apparel industry is estimated to consume over 93 billion cubic metres of water every year in the production of clothing. These processes are not environmentally friendly, nor sustainable and without the intervention of technologies such as those offered by Xeros, will fail to reap the rewards of this consumer-driven ESG macro-trend.

"Many of these pressures are also relevant when considered in the context of the appliance industry, and have recently been exacerbated by France's decision to mandate a deadline of 1 January 2025 for a microfibre capture requirement in all washing machines. The announcement has paved the way for further reforms and placed increasing pressure on other governments to follow suit. California has also proposed similar legislation and we are currently awaiting the European Commission's publication of its initiative to reduce microplastic pollution. The passing of this legislation will have a substantive impact on reducing microfibre pollution at scale and improving the industry's environmental footprint.

"Given the global legislative agenda, Xeros' technologies are vital to achieving this and are increasingly doing so."

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News: Xeros secures more global deals

Xeros Technology Group plc, the creator of technologies that reduce the impact of clothing on the planet, has secured two more global contracts for its XFilter filtration technology.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has moved to "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications.

The AIM-listed firm has signed an agreement with a world-leading supplier of components, with over 300 million household appliances of all types incorporating parts made by this manufacturer currently deployed around the world. The partner supplies electro-mechanical components for the world's largest domestic washing machine manufacturers including, but not limited to, Haier, Whirlpool, Midea, Miele and Bosch.

Under the terms of the 5-year, non-exclusive agreement, the partner is licensed to manufacture and sell filters incorporating Xeros' proprietary XFilter technology on a worldwide basis. This will enable washing machine manufacturers to provide consumers with the ability to capture, and easily and safely dispose of over 90% of microfibres, including microplastics, released during laundry cycles.

It follows on from the announcement of a signed agreements with Hanning in June 2022.

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Xeros has also announced an agreement with another manufacturer, headquartered in Northern Europe with production facilities across the US, Asia, and Europe. Xeros said it was "a significant supplier of home appliance components alongside waste management solutions with annual turnover of c.€180m" that supplies components for the world's largest domestic washing machine manufacturers, with a high proportion of its customers, including Haier, Midea, LG, Panasonic, Samsung and Whirlpool, operating across the US and Asia markets.

Under the terms of the ten year, non-exclusive agreement, the partner is licensed to manufacture and sell filters incorporating Xeros' proprietary XFilter technology on a global basis. As with the first two agreements Xeros will receive a royalty per filter device sold by the partner.

Neil Austin, Chief Executive Officer of Xeros, said: "We are very pleased to announce another licensing agreement in such quick succession.

"The fact that three of Europe's leading component suppliers have chosen to partner with Xeros clearly demonstrates that Xeros' XFilter technology is widely regarded and believed in by multiple manufacturers."

"We look forward to updating the market in due course and to working alongside our new partners."

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News: Xeros-equipped washing machines in stores in India

Xeros Technology Group plc, the creator of technologies that reduce the impact of clothing on the planet, continues to work with IFB, India's largest domestic and commercial washing machine manufacturer.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has moved to "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications.

IFB, which has been innovating washing machines for over 30 years and is a household name in India with over 6 million customers, has confirmed that it is placing its new premium 11kg domestic washing machines, designed for large households and incorporating Xeros' Care technology, in its Indian retail stores.

The market launch complements the field trials of a new 9kg domestic washing machine, designed for mass market adoption. IFB is expected to install trial machines in Indian homes early in the new year. Subject to these field trials being successful, IFB will then proceed with a nationwide launch in Q1 2023.

Xeros' "XOrbs" last for many hundreds of washes before needing to be replaced and recycled. The beads gently remove unwanted molecules and contaminants from materials allowing washing machines to work more efficiently while using just a fraction of the water traditionally needed.

The unique technology delivers superior wash performance when compared to conventional wash programs and is capable of achieving this while still reducing energy and detergent consumption by 50%, and water consumption by 70%.

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Water scarcity affects millions of people in India every year. If a million customers start washing with XOrbs they could save over 4 billion litres of water every year, enough to meet the basic needs for water and sanitation for over 200,000 people for a whole year.

In the Commercial Laundry market, IFB has commenced trials of a 90kg washing machine in Bangalore for Indian Railways. The machine has already been placed at the Railway Boot Laundry in Bangalore to trial the washing of linens used on sleeper trains across India. Indian Railways is one of the largest organisations in India and is an established customer of IFB. This trial follows another successful contract win for Xeros with Georges SAS, the Company's French commercial laundry partner, placing further IFB commercial machines with SNCF, the French national rail operator.

Neil Austin, Chief Executive Officer of Xeros said: "We continue to work in partnership with IFB and the ... launch of the 11kg machine will enable consumers to use our proprietary technology in their home for the first time. This is an exciting milestone for Xeros as we continue to accelerate new licence agreements.

"Xeros is also confident of future developments in the rail sector, both in India and France as our technology is more widely used in commercial machines."

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News: Xeros raises £7m

Xeros Technology Group plc, the creator of technologies that reduce the impact of clothing on the planet, has raised £7m through a share issue.

The company has also appointed a new CEO and published its interim results for the six months ended June 30 2022.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has moved to "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications.

The share issue was needed as Xeros' board said earlier in the year that it required further investment to fund the business through to cash breakeven.

For the six months, the company reported an increase in its adjusted EBITDA by 36.9% to £3.9m, up from £2.8m in the same period of 2022.

The company continues to make progress with its XFilter Technology that enables washing machine manufacturers to provide consumers with the ability to capture and easily and safely dispose of over 90% of microfibres, including microplastics, released during laundry cycles.

Having secured a deal with German company Hanning in June, a development agreement was signed in September 2022 with a second large European component supplier to multiple domestic washing machine OEMs.

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In the commercial laundry market, traditionally the proving ground of Xeros technology, progress is being made in China, India and France. Also in India, IFB, the second largest domestic washing machine company in India by sales volume is expected to launch a domestic machine with Xeros technology in Q4 of 2022.

The results said that: "A successful launch in India of our domestic XC technology will be a pivotal moment for Xeros, not just in giving a clear line of sight to a significant future revenue stream but, as importantly, it will be key to unlocking wider adoption by the industry and share of the 100 million units per annum market."

Xeros technology also simplifies the finishing process in the manufacture of denim products. Trials have confirmed reductions in chemistry, water and energy use that means that the garments produced are greener, quicker and cheaper to manufacture.

A major European retail brand has now taken the next step of asking Xeros to make a proposal for the widescale implementation of its finishing technology into their supply chain.

Neil Austin, newly appointed Chief Executive Officer of Xeros, said: "I am pleased to report the progress made during the first half of 2022 on our three product categories of filtration, care and finish. The vital savings in water and energy that our technology can deliver has been recognised and adopted by key licensing and development partners laying a strong foundation for future growth.

"The proceeds from the placing and open offer announced earlier today will be applied to winning additional contracts in each of our application areas. Our marketing investment will amplify the reach of our proposition and accelerate new licence agreements. We look forward to updating shareholders on our progress in due course."

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News: Xeros signs global licensing agreement

Xeros Technology Group plc has signed a licensing agreement for its XFilter filtration technology with a world leading manufacturer of components for the appliance industry.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has moved to "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications.

The AIM-listed firm has signed an agreement with Hanning Elektro-Werke Gmbh & Co.KG. which is based in Germany and makes pumps and motors for some of the world's largest domestic washing machine manufacturers.

Hanning components are incorporated in the washing machines of some of the world's leading brands and the agreement is described as transformational for Xeros. It has the potential to deliver significant revenues from late 2023 onwards.

Under the terms of the 10-year, non-exclusive agreement, Hanning will manufacture and sell filters incorporating Xeros' proprietary XFilter technology. This will enable washing machine manufacturers to provide consumers with the ability to capture and easily and safely dispose of over 90% of microfibres, including microplastics, released during laundry cycles. The filters are built into the washing machine and are designed to last the life of a machine.

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Hanning is establishing a production line to meet demand from their customers ahead of new legislation in France requiring the fitting of microfibre filters in all domestic washing machines by 1 January 2025. Similar legislation is in development in the UK. Xeros is already working alongside Hanning on the integration of XFilter within the washing machines of a number of their existing customers.

Under the terms of the agreement Xeros will receive a royalty per filter device sold by Hanning. The royalty amount is commercially sensitive, but Xeros can confirm that the commercial terms of the agreement are in line with the Board's expectations and, as previously communicated, Xeros expects to begin receiving royalty revenues from Hanning in late 2023.

In addition, Xeros continues to make progress under the XFilter development agreement previously announced with a large, Asian-based washing machine OEM and a highly respected testing institute for the textile industry recently accredited Xeros' filtration device with the highest level of performance, capturing over 99% of microplastics.

Klaas de Boer, Chairman of Xeros, said: "The ambition we have been working towards is for Xeros' XFilter technology to establish the de facto standard for legislators and to be the device of choice for all washing machine manufacturers. Our solution is designed to be the most efficient, most reliable, most durable and the easiest to use. This agreement with Hanning is testament to the fact that our solution achieves these objectives. Hanning's customers are now working with us and Hanning for incorporation into their machines.

"Doing so enables them to meet the legislation in France with the expectation that filtration will be mandated across the EU and in the UK.

"Through their adoption of this technology, the washing machine industry will radically reduce the largest source of primary microplastic pollution which is from washing our clothes at home."

The deal is much-needed. Xeros' board said earler in the year that it was actively evaluating several funding options to secure investment as it no longer believed that it was likely to reach month on month EBITDA profitability and cash breakeven in the first quarter of 2023, as previously guided. The Board now expects this to be reached in 2024.

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News: Xeros makes clear progress with filtration technology

Xeros Technology Group plc, the developer and licensor of platform technologies which transform the sustainability and economics of clothing and fabrics during their lifetime, has signed new agreements paving the way for microfibre filtration in household laundry.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has moved to "IP-rich, capital-light" business model with water saving and filtration technologies with multiple commercial applications.

The AIM-listed firm has signed agreements with two domestic washing machine manufacturers to test and trial its XFiltra technology for the consumer market.

Its also signed an agreement with the German component manufacturer, Hanning, to test and market XFiltra with manufacturers of domestic washing machines.

These follow an agreement with the commercial laundry giant Girbau to launch a new range of microfibre filtration products, incorporating XFiltra technology, for the commercial laundry market.

Microfibres, which are tiny fragments of the fibres used to make clothes and textiles, are a major source of pollution in the environment.

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They are shed from clothes when we wear and wash them. It’s estimated that 280,000 tonnes of microfibres end up in rivers and oceans every year and, in the UK alone, more than 9 trillion microfibres are released from domestic washing machines into wastewater every week.

Where synthetic fibres like nylon and polyester are used, microfibres are a form of microplastic. These fibres are often used in casual clothing and are a staple of the sports and outdoor fashion industry.

The agreements will see Xeros working directly with multiple washing machine manufacturers to incorporate and test XFiltra in their domestic machines.

One is a major brand in the household appliance market, which is headquartered in Asia. It will conduct extensive testing of XFiltra ahead of field trials.

Another is a smaller European-based manufacturer which will incorporate XFiltra in their household washing machines ahead of consumer-facing trials.

In addition, Xeros will be working with the German component manufacturer Hanning to develop, test and market XFiltra with a number of other manufacturers. Hanning is a leading supplier of component parts to domestic washing machine manufacturers and an expert in pump technologies.

Mark Nichols, CEO at Xeros, said: "Washing machine manufacturers are increasingly putting sustainability and protecting the environment at the heart of their products. This includes preventing microfibre pollution, which is generated by washing clothes.

"We’re delighted to be partnering directly with multiple washing machine brands and a world renowned component supplier to the industry, all of whom share our concern for the environment, our passion for helping consumers to ‘wear better™’ and reducing the impact of microfibre pollution on the planet.

"Politicians are putting pressure on the industry to incorporate microfibre filtration in household washing machines by the middle of the decade. Working with our new partners we are paving the way for that to become reality."

Xeros recently signed a ten year contract with Girbau, one of the world's largest manufacturers of commercial laundry equipment, to license its filtration technology, XFiltra, for use in commercial laundries.

Girbau's XFiltra product, developed in partnership with Xeros, captures more than 90% of all microfibres released during laundry cycles and can be incorporated within, or attached to, individual commercial washing machines. Alternatively, they can be configured to filter the effluent for entire laundry facilities.

Nichols added: "This is [a] major step by Xeros and Girbau, one of the world's most respected commercial laundry equipment manufacturers, towards helping the world wear better and reduce environmental harm.

"Commercial and domestic laundry processes generate hundreds of thousands of tonnes of microfibre pollution every year, with microfibres now found everywhere on our planet and within the entire trophic range. Our announcement today signals the start of a significant step to cut this form of pollution.

"Girbau have been an exemplary development partner for us, sharing our passion for environmental improvement across the fabric and garment value chain. Their engineering and product development teams have worked tirelessly, and creatively, to package our technology into a highly effective, easy to use, robust filter which enables commercial laundries to reduce their impact on our planet."

"Moving from development stage to commercial agreement with Girbau in roughly 15 months is a fantastic achievement and evidences, we believe, the strength of the IP within XFiltra and we plan to begin trials of our domestic version with major appliance manufacturers later this year."

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News: Xeros commercial laundry technology launches in China

Innovative Rotherham company, Xeros Technology, has announced that its Chinese license partner, Jiangsu SeaLion Machinery Co., Ltd (Sea-Lion) has launched their Hydrology brand comprising a range of commercial washing machines incorporating Xeros' XOrb and XDrum technologies.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

The AIM-listed firm is targeting commercial laundry and domestic laundry as well as the tanning industry and textile manufacturing.

Sea-Lion is the largest commercial washing machine manufacturer in China with sales and service offices in each of China's 30 provinces and in cities such as Beijing, Shanghai, Chongqing and Shenzhen, serving customers in the hotel, industrial laundry, hospital, military and dry-cleaning markets.

Sea-Lion is positioning its Hydrology brand with the most sustainable products available in the market, capable of delivering significant water, energy and chemistry savings whilst extending fabric and garment life.

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China is a large and attractive market for Xeros' commercial laundry application with the Company's research indicating that approximately 27,000 commercial washing machines are sold across the nation every year with water rates increasing significantly for industrial users in many parts of the country.

Xeros has moved to "IP-rich, capital-light" business model and will receive a mid to high single digit percentage royalty for these machine sales as well as royalties for the ongoing use of XOrbs by SeaLion's customers.

Mark Nichols, Chief Executive of Xeros, said: "This product launch represents the first deployment of our XOrb and XDrum technology platform in the commercial laundry market. These technologies have been proven to greatly reduce resource consumption whilst bringing unparalleled cleaning and fabric care benefits.

"SeaLion's long-standing commitment to improving both the sustainability and economics of the laundry industry has made them an exemplary license partner for Xeros. Their Hydrology range of products will deliver a step change in performance in the commercial laundry industry and will help the world wear better."

Officially launched at CES 2018, XOrbs last for many hundreds of washes before needing to be replaced and recycled. The beads gently remove unwanted molecules and contaminants from materials allowing washing machines to work more efficiently while using just a fraction of the water traditionally needed.

The XDrum is an elegant and inexpensive system which introduces the XOrbs during the wash as the drum rotates. 50% less water than conventional machines is used and the XOrbs are collected after the wash with a simple change of direction. Clean clothes are then removed from the machine as normal.

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News: Major licensing progress for Xeros

Bosses at innovative Rotherham company, Xeros Technology, say they are in a "solid financial position" as manufacturers prepare to enter markets this year with products containing Xeros IP.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

The firm has moved to an IP rich and asset light business model and pitches itself as the developer and licensor of technologies which reduce the environmental impact and cost of clothing and fabrics.

Publishing its 2020 audited results for the 12 months ended December 31 2020, the Group reported an operating loss of £7.6m, a reduction of the loss of £17.1m reported in 2019. Adjusted EBITDA (earnings before tax) loss reduced to £6.8m from £14.4m in the previous year.

The company said that 2019 was about the organisational transition to an asset-light technology licensing business model and that 2020 was about the commercial implementation of that business model.

Whilst the Covid-19 pandemic has somewhat delayed the timing for licensees entering their markets, license partners have made significant progress.

Ramsons entered the garment finishing market in South Asia, selling nine machines to ABA - the first commercial sale of XOrb/XDrum enabled machines (the polymer technology). Xeros is targeting the huge denim finishing industry and SeaLion and IFB are ready to enter commercial laundry markets in China and India. IFB is also planning entry into the Indian domestic laundry market in 2021.

Major advances have also been made with the XFiltra technology platform - the system that removes microplastic fibres from laundry effluent. A leading commercial laundry equipment company is planning to enter the market with an industrial version in 2021 and product design to address the domestic machine market is planned for release for field trials by OEMs in mid-2021.

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Mark Nichols, Chief Executive of Xeros, said: "A year of living with the global Covid-19 pandemic has increased the belief among consumers, politicians and business that we must build better for a more sustainable future. Consumers are increasingly choosing products which carry a lower environmental cost while legislators are putting the long-term health of the planet at the heart of policy making.

"Together with our licensees, we are making a tangible difference to the sustainability of the clothes and fabrics we wear and use. By minimising the environmental harms caused during their manufacture and care, Xeros is helping the world to 'wear better'.

"The launch of our technologies by licensees in South Asia and China will give us a platform to expand into new geographies where there is also an urgent need for the environmental and economic benefits presented by our technologies.

"We will do so from a solid financial position with resources in place to win additional license contracts and fully embed our technologies within major supply chains and in the hands of consumers."

After the year end, Xeros raised around £8m to support the commercialisation of its washing machine filtration technology. Funds will be deployed to win additional contracts, complete the commercialisation of XFiltra and to provide a contingency for further disruption from the Covid-19 pandemic. The expectation is that current funds are sufficient to move the Group to month-on-month cash breakeven by the end of 2022.

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News: Xeros secures £8m in share placing

Innovative Rotherham company, Xeros Technology, has raised around £8m to support the commercialisation of its washing machine filtration technology.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

The firm has moved to an IP rich and asset light business model and pitches itself as the developer and licensor of technologies which reduce the environmental impact and cost of clothing and fabrics.

The latest investment comes from a successful share offer and will help the company bring its patented filtration system, XFiltra, to market. The system removes microplastic fibres from laundry effluent. The device lasts for the lifetime of the washing machine and does not use disposable filter cartridges.

£2.5m of the investment has been set aside for commercialisation. £1.5m is needed to ensure that the Company is sufficiently capitalised to absorb the impact of delays caused by COVID-19.

Xeros said in a stement to the stock exchange: "The Company is working with a leading product design consultancy to produce, in Q2 2021, a standardised product design which can be integrated into all domestic washing machines with a view to then running consumer field trials during 2021 with a number of OEMs with whom the Company is already in discussion. With successful field trials completed by the end of 2021, the Directors would anticipate being in a position to secure first commercial licensing revenues in a domestic application in 2023."

"Funds will be deployed in employing additional technical capability to work with OEM partners, to further increase the patent portfolio around XFiltra and to extend its work on filtration standards with regulatory bodies in Europe to India, China and the United States, as well as significantly increasing the Company's marketing activity."

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Washing textiles containing synthetic fibres, such as nylon or polyester, is a major source of microplastic pollution. Globally, it accounts for 35% of primary microplastics released into the oceans every year. As many as 700,000 microplastic fibres can be released in the wastewater from a single load of domestic laundry.

Tests in 2020, which were designed to capture microfibres in a mixed wash of synthetic and synthetic/cotton blend garments, show that XFiltra captured 78% of microfibres released during each wash cycle.

Other IP centres on water saving XOrb and XDrum technologies used in commercial and domestic washing machines. Deals have been signed in the leather and denim processing industries

Mark Nichols, CEO of Xeros, said: "This placing enables the development and commercialisation by licensees of our filtration technology platform, XFiltra, in the domestic washing machine market where there is now regulatory and consumer pressure to stop some 280,000,000 kilograms of microfibres from washing clothes reaching the environment. These fibres are now to be found across the trophic range. It will also finance growth in the number of licensing contracts and high margin revenues in our XOrb/XDrum technology platform which radically reduce environmental impacts and costs across large parts of the clothing and fabric lifecycle.

"The support of existing and new shareholders in delivering these environmental improvements in global scale industries is highly valued by both the Company and the increasing numbers of stakeholders who will now benefit."

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News: Xeros denim deal done

Xeros technologies are to be used by one of the world's leading suppliers of denim garments, helping reduce the environmental impact of jeans sold through major high-street retailers.

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Xeros is a Leeds University spin-out that has developed patented polymer beads first used to clean clothes virtually without water.

The firm's Indian license partner, Ramsons Garment Finishing Equipment Ltd, has received an order for nine denim finishing machines incorporating Xeros' technologies.

Manufacturing will start immediately with the first machines shipped later this year to ABA Group, a leading supplier of garments to internationally recognised brands including American Eagle, H&M and Zara. ABA have a production capacity of 45 million garments per annum with approximately 70% devoted to denim products.

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Trials carried out on the AMP demonstrated that Xeros can process denim jeans from their raw state to a finished product in a single machine in a continuous process at scale. The results were achieved with ultra-low chemistry, water ratios and effluent.

Two billion denim garments are treated every year and millions are then faded with chemicals. Currently it takes almost 3,000 litres of water to manufacture one pair of jeans.

Installed at a new facility in Bangladesh, each machine is up to 5,000 litres cubic capacity and able to process around 300 pairs of jeans at a time.

The order represents the first sales of Xeros' innovative XDrum design which fully automates the use of the group's XOrbs in garment finishing and laundry processes. The use of XOrbs in the denim finishing process eliminates the need for pumice stone and reduces water consumption by 75%. Manufacturing productivity and economics are also improved by allowing all finishing processes to be undertaken in a single machine in shorter cycle times.

Mark Nichols, CEO at Xeros, said: "The order from the ABA Group marks the first sale of Xeros' new XDrum machine design and represents a landmark in the execution of our strategy.

"Our collaboration with Ramsons has created a new way for turning raw denim into finished garments, at a time when the industry is under intense pressure to reduce its environmental impact and costs. More than one billion pairs of jeans are sold every year, with each one exacting an environmental toll including high water consumption during manufacture and when washed by consumers. Microfibres from their laundering are also entering our rivers and oceans.

"Our mission is to change this dramatically for the better for all the garments in our world."

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News: Xeros technology rated best microfibre filter for laundry

XFiltra, the innovative washing machine filtration technology from Xeros - designed to prevent the release of microplastics from laundry - has been independently verified by scientists at the University of Plymouth as the leading device for reducing the number of microfibres released from washing machines.

Xeros is a Rotherham-based developer and provider of water saving and filtration technologies with multiple commercial applications.

Washing textiles containing synthetic fibres, such as nylon or polyester, is a major source of microplastic pollution. Globally, it accounts for 35% of primary microplastics released into the oceans every year. As many as 700,000 microplastic fibres can be released in the wastewater from a single load of domestic laundry.

Xeros' patented filtration system, XFiltra removes these microplastic fibres from laundry effluent. The device lasts for the lifetime of the washing machine and does not use disposable filter cartridges.

XFiltra, was tested by Dr Imogen Napper at the University's International Marine Litter Research Unit, alongside products from other companies to measure their relative effectiveness at capturing microfibres, released from clothes during wash cycles, and preventing their subsequent release in wastewater.

The results show that XFiltra performed significantly better than all other products evaluated. The tests, which were designed to capture microfibres in a mixed wash of synthetic and synthetic/cotton blend garments, show that XFiltra captured 78% of microfibres released during each wash cycle.

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Similar independent tests conducted by Xeros on purely synthetic garments, show that XFiltra captures over 90% of the microplastic fibres released from them.

The University of Plymouth test data has been peer reviewed and is published today in the journal Science of The Total Environment.

Mark Nichols, CEO of Xeros, said: "The pollution of our rivers and oceans with discarded plastic waste is happening at an alarming rate. It's harming wildlife and our precious and finely balanced ecosystems, with microplastics from washing our clothes being a significant source of contamination.

"XFiltra was developed with the objective of eliminating this form of pollution and with the belief that every household and commercial washing machine needs to be fitted with low cost, easy to use filtration.

"We're delighted that the efficiency of our filtration technology has now been confirmed by independent researchers as a world leading solution which provides every washing machine manufacturer with the ability to make a major contribution to the sustainability of garment lifecycles and our planet."

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News: Xeros signs first XFiltra deal

Xeros, the Rotherham-based developer and provider of water saving and filtration technologies with multiple commercial applications, has signed its first agreement in the development of its product that protects oceans from plastic pollution.

The Joint Development Agreement ("JDA") has been inked with a global leader in commercial laundry solutions, with the aim of incorporating the Xeros' system into their commercial washing machines.

Washing textiles containing synthetic fibres, such as nylon or polyester, is a major source of microplastic pollution. Globally, it accounts for 35% of primary microplastics released into the oceans every year. As many as 700,000 microplastic fibres can be released in the wastewater from a single load of domestic laundry.

Xeros' patented filtration system, XFiltra removes up to 99% of these microplastic fibres from laundry effluent. The device lasts for the lifetime of the washing machine and does not use disposable filter cartridges.

Xeros' joint development partner aims to be the first company in the world to provide commercial laundries with washing machines fitted with microplastic filtration. Upon successful completion of the joint development, the JDA provides for the negotiation of a commercial agreement to license Xeros' filtration technology in a number of geographies in exchange for royalties.

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Mark Nichols, chief executive of Xeros, said: "This invisible form of plastic pollution is highly damaging to our environment and wildlife,  and is one of the ways in which microplastics are readily entering our food chain. Having developed our filtration solution over the last three years, we are delighted to be working with one of the world's most respected and environmentally aware commercial laundry solution providers.

"We believe XFiltra to be the most effective product available, enabling companies and consumers to substantially reduce this form of microplastic pollution. Legislation currently being passed in various geographies will hasten and increasingly mandate adoption of in machine filtration in order to remove microplastics from washing machine effluent streams."

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes. It has pivoted to a strategy that sees the licensing of technologies to market incumbents and receiving a proportion of the value created by means of royalties.

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News: Xeros outlines £7m fundraising proposals

The board at innovative Rotherham company, Xeros Technology, has outlined plans to raise some £7m to support its move to an IP rich and asset light business model.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

The proposal involves raising approximately £5m before fees and expenses by a placing of 505,000,000 new ordinary shares with existing and new institutional investors at an issue price of 1 pence per share. In addition, qualifying shareholders will be given the opportunity to subscribe for up to 199,932,635 new Ordinary Shares through an open offer to raise up to £2m before expenses.

The net proceeds are intended to be used to fund the Group's operations through to the end of 2020 and the directors said they will seek to raise further funds at the end of 2020, if not sooner.

The Xeros strategy sees the licensing of technologies to market incumbents and receiving a proportion of the value created by means of royalties. A number of licenscing deals have recently been announced and the directors believe the group will be generating sufficient cashflows to be break-even by the end of 2021.

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Mark Nichols, CEO of Xeros, said: "Xeros' products help reduce the increasing pressures on the world's supply of water. Testament to this are the development and license agreements we have signed in India and China, the world's two largest water users.

"This funding, provided by both existing and new shareholders, will enable us to complete our full migration to becoming a high-margin royalty business delivering sustainability and cost benefits to our licensees' customers.

"Having completed much of the development and protection of our products, we are now well-positioned to continue the commercialisation of our intellectual property with major OEMs across multiple large-scale markets."

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News: Xeros tanning business spun-out to management team

Xeros Technology Group plc, the Rotherham-based developer and provider of water saving and filtration technologies with multiple commercial applications, has spun out its Qualus tanning business operations to its management team in exchange for an exclusive worldwide licensing and royalty agreement.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

Xeros is moving to a IP rich and asset light business model with the majority of revenue derived from high margin licensing agreements.

The Qualus management team has formed a new company, ESTR Limited (ESTR), which has acquired the physical assets associated with the business, its contracts including the LEFARC agreement and the brand "Qualus".

Xeros has provided ESTR with a capped convertible loan facility in order to fund the business until the end of December 2019. The management team plan to raise further financing to fully commercialise the business.

ESTR has the exclusive rights for the use of Xeros' patents in the tanning market and will pay the Group a royalty on its worldwide income in respect of these patents. Royalty levels, which are subject to contractual minimums from 2022 onwards, are in line with Xeros' expectations for this application.

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This spin-out will reduce the Group's cost base beyond December 2019 as part of the previously communicated intention to be a pure play licensing company with a monthly cash burn rate of £0.6m per month from January 2020.

In the event that ESTR does not meet its contractual obligations, the licensing rights revert back to Xeros.

Mark Nichols, Chief Executive of Xeros, said: "This agreement is another milestone in the migration of Xeros to a pure-play licensing and royalty business and will further reduce our cost base.

"ESTR is best placed to commercialise our tanning patents. The team has the expertise and credibility both to execute existing and future contracts and to raise the finance required to take the business forward."

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News: Commercialisation accelerates at Xeros

Losses are narrowing at innovative Rotherham company, Xeros Technology, as it signs further licensing deals and steps back from direct sales and physical supply chains.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

Xeros is moving to a IP rich and asset light business model with the majority of revenue derived from high margin licensing agreements.

The strategy sees the licensing of technologies to market incumbents and receiving a proportion of the value created by means of royalties. The technology can also be applied to leather processing and garment finishing.

The firm's pretax loss for the six months ended June 30 was £9m, a reduction from the £13m loss in the same period in the previous year. This was the result of administrative expenses.

Revenue fell 16% to £1.6m due to a reduction in physical sale of commercial washing machines by its Hydrofinity division.

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Mark Nichols, chief executive of Xeros, said: "Since Xeros' inception, the geo-political and environmental pressures on the world's supply of water continue to increase, year on year. There is no reason to believe this will change or abate. Our technologies help to extend this precious resource whilst simultaneously reducing significantly pollution.

"After a number of years of development, manufacturers and consumers have now recognised that our innovative technologies are highly valuable, both in terms of their sustainability and cost benefits.

"The commercialisation of our products is now accelerating with a number of contracts in execution and in development in a number of countries including the two most populous.

"In 2017 we changed our strategy to commercialise our technologies under a license model in order to achieve the broadest possible market penetration from the lowest possible cost base. Our licensing contract wins and reducing cash burn rate are evidence that we are now making good progress to achieving that objective."

Since the end of the period, Xeros signed an agreement with Ramsons Garment Finishing Equipment PVT Ltd, the largest supplier of garment finishing equipment in South Asia. Under the agreement, Ramsons will develop, manufacture and sell garment finishing equipment used in the manufacture of denim jeans which incorporates Xeros' technology on an exclusive basis across South Asia and Africa.

Xeros also signed an agreement which sees WashCo granted the exclusive rights to take over the servicing of Xeros' hospitality laundry customers in the UK.

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News: Rothbiz gains an ally - the Prime Minister

If you can get past the headline-grabbing heckling, the fudged answers to press questions, the less than enthusiastic audience reaction and the "light-hearted remark" from the host, you'll find that the Prime Minister of the United Kingdom stood up and promoted positive stories about Rotherham businesses.

Boris Johnson used a high profile event in Rotherham to renew a drive to give more power to Northern regions.

At The Convention of the North held at Magna, the PM said: "[It is] only right that we are meeting here on the banks of the Don, literally the crucible in which the history of the nation was forged - and indeed of the modern world.

"When Nelson defeated the French at Trafalgar and set this country on course for about 100 years of imperial expansion, the cannons on HMS Victory were forged here at Walker and Company.

"It was Rotherham pipes that brought fresh drinking water to Hong Kong, Rotherham steel that clad Brunel’s Great Eastern and formed the skeletons of New York skyscrapers and did you know that every fire hydrant in New York was cast in British steel less than two miles from here at the works of Guest and Chrimes.

"That was before it occurred to anyone to put tariffs on British steel.

"This place where we meet was so central to our national life that it was bombed in both the first and second world wars.

"And so it was entirely fitting that 50 years ago the works here at Templeborough adopted as its logo the phoenix – perpetually rising from the ashes.

"And across this region you can feel that phoenix-like transformation as the Northern Powerhouse – which Jake just spoke so eloquently - thrums into life with a low-carbon, fuel efficient roar.

"Look at Catcliffe.

"Where a factory that once made superb glass is now being used by McLaren to turn super-light, super-strong Yorkshire carbon fibre into the fastest production cars on earth.

"Right next door, at the Advanced Manufacturing Park, Xeros Technology are producing the world's most environmentally friendly washing machine - that's the spin and I bet it's true.

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"Boeing chose Sheffield as its first civil aerospace factory in Europe – with nearly half its employees taken on as apprentices.

"And did anybody have a bagel this morning? Did you? No?

"Well if you did, it was probably made just up the road in Mexborough, where, in the largest bagel factory in Europe produces fully three-quarters of the bagels eaten in Britain every day.

"Sheffield is the home of the UK's largest provider of hybrid and electric vehicle drive systems, a company called Magtec.

"A world-first initiative, Magtec is retrofitting Sheffield's refuse lorries with battery-power, with enough juice to negotiate the seven hills and recharge themselves with energy they generate from the very rubbish they collect.

"Rubbish powered rubbish vans – there's a joke there somewhere which I will leave to you.

"I tell you, there is no limit to the imagination, innovation, ingenuity and leadership in the North."

The Prime Minister also said that the Government are committed to getting the Sheffield City Region devolution deal done and set out his intention to allow Northern communities to take more control over their rail services.

He added: "In this birthplace of the railways, we can do so much better. Today – coming from London on the train, it took me just over an hour and a half to get to Doncaster. But if, for example, you travelled from Liverpool to Rotherham – less than half the distance – you might have had to leave an hour earlier than me, and change as many as three times."

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News: Xeros outlines future as pure-play licensing business

The board of Rotherham-based Xeros Technology Group plc has set out what it sees the company looking like as it moves to a full licensing business model.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

Xeros is moving to a IP rich and asset light business model with the majority of revenue derived from high margin licensing agreements. The strategy sees the licensing of technologies to market incumbents and receiving a proportion of the value created by means of royalties.

In a update to the stock exchange, Xeros said that it plans to have fully completed its migration to a license model by the end of the year and to cease any involvement in direct sales and physical supply chains. This will result in licensees paying Xeros royalties for the use of its extensive intellectual property portfolio.

Exiting from all direct sales business by the end of 2019 will mean that it will have less than 60 staff in early 2020, down from 160 in September 2018. A unit used by Xeros on the AMP is already being advertised to let.

The comapny, which has appointed new financial advisors, added that it believes that £10m of additional funding is required before licence royalties creative sufficient revenues.

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Last month, Xeros signed two agreements to sell the majority of its US commercial laundry customer portfolio of leased machines and equivalent arrangements are in development for European customers.

The Xeros tech can also save water in the tanning industry and, having entered the market itself, Xeros signed a deal which will see a Mexican producer convert its re-tanning operations in order to use Xeros' technologies. The board has now approved, subject to contract, the spin-out of its tanning business (under the Qualus brand) to its management in exchange for future royalty payments.

Mark Nichols, chief executive of Xeros, said: "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.

"With our technologies now proven and much simplified, following the introduction of the XDrum, global scale OEMs are now licensing or testing our products with a view to long term licensing.

"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.

"Switching to high margin licensing turnover over the next two years against a backdrop of a low-cost licensing organisation provides us with a line of sight to cash breakeven."

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News: Xeros continues move to licensing business model

Rotherham-based Xeros has signed two agreements to sell the majority of its US commercial laundry customer portfolio of leased machines as it moves to a full licensing business model.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

Called, Hydrofinity, the US commercial laundry customer portfolio of leased machines will be sold to Eastern Laundry Systems (ELS) and Wash IQ previously known as Viking Services.

Hydrofinity will receive an up-front payment of $109,000 in cash and on-going license fees for the provision of Xeros' polymer beads, known as XOrbs, to ELS and Wash IQ. The proceeds from the transaction will fund on-going Hydrofinity working capital.

In 2018, these lease contracts generated an adjusted gross loss of $376,000. The commercial washing machines and associated lease contracts had no value on the group's balance sheet, the value having been written down during 2018 following the invention and patenting of Xeros' new XDrum design for commercial washing machines.

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164 commercial washing machines installed with Hydrofinity customers and their corresponding lease contracts have been sold to ELS and WIQ. As previously announced in November 2018, ELS already held exclusive rights to take over the servicing of Hydrofinity customers in nine states across the East Coast of the United States. Since December 2018, Wash IQ held the same exclusive rights for servicing of Hydrofinity customers in California and Arizona.

The agreement reflects the Hydrofinity strategy to reduce its physical presence in markets and to move to a full licensing model. The Group expects further sales of smaller portfolios to similar regional distributors in the US over the coming months.

Mark Nichols, CEO of Xeros, said: "As part of our strategy to implement a licensing model for all our applications, we completed the transfer of sales and service to our channel partners in the US earlier this year in order to improve customer service and reduce our costs.

"This sale of the majority of our existing Hydrofinity lease agreements in the US to channel partners means we will be paid ongoing fees for the use of XOrbs by customers, providing a high margin return on our technology without any physical involvement in the supply chain.

"The approach is consistent with our license agreements signed with the largest commercial laundry equipment companies in China and India."

Xeros is moving to a IP rich and asset light business model with the majority of revenue derived from high margin licensing agreements. The strategy sees the licensing of technologies to market incumbents and receiving a proportion of the value created by means of royalties.

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