CMR Fuel Cells secures core patent in China; shares jump 5%
CMR Fuel Cells plc said today that one of the core technologies for its revolutionary fuel cell stacks for portable and small stationary power generation applications had been granted a patent in China.
Securing the patent for its technology that delivers longer run-time and lower costs than conventional fuel cell stacks opens the door to East Asian markets that are expected to lead the mass adoption of fuel cell technology, where consumers demand more features and functions from portable devices and conventional batteries do not have enough power capacity to support them.
CMR is developing commercial relationships with a number of major electronics OEM's in the region and expects the grant of this core patent to strengthen its position in possible future collaborative projects.
Chief executive John Halfpenny (pictured) said that "having a core patent granted in China is a very powerful strengthening of our intellectual property position, and I expect that this will strongly support our commercialisation programme in the region.
"China is a complex and challenging jurisdiction in which to operate and in which to gain intellectual property protection. Our success here gives me great confidence of further patent grants in other regions."
The Generics Group spin-out has attracted international attention for its technology through a host of awards including the 2005 Carbon Trust Overall Innovator of the year and by being selected by the World Economic Forum as a Technology Pioneer for 2006. It listed on London's AIM in December last year.
The news impressed the stock market and its share price jumped 5.3% to 245.50p. The firm, still in its developmental phase, is now worth £50m.
China's patent system "callenging"
Mr Halfpenny said the CMR team considered the Chinese patent system to be one of the most challenging in the world and thus the successful grant of the patent strengthened its confidence of further successful grants in China and elsewhere.
The company expects that in the longer term the Chinese market will represent a substantial commercial opportunity and that by building an initial commercial presence in the region, coupled by strong patent protection, CMR will be strongly positioned to enter into various application markets in the region as they emerge.
China is a leading manufacturer, consumer and developer of portable electronics products as well as having one of the most active fuel cell development programs in the world.
The company said that its commercial proposition had now been strengthened as:
• Infringing products are less likely to be made in China, again protecting value
• its negotiating position with indigenous and 3rd party OEMs who manufacture and develop in China had been improved
• its intellectual property is secured early in a region where intense research and development is being carried out in the fuel cell field
27th March 2006
