General Discussion, page-1239

NANOLLOSE (ASX:NC6)

NC6 have developed a patented technology that converts industrial waste into fibre.
“This fibre uses much less energy and water and CO2 emissions in general across the product life cycle,” Ukani says.

“They have partnered with Grasim Industries, a multi-billion-dollar company out of India who are the largest rayon manufacturers in the world.

“They’ve completed their first successful pilot spin off the fabric so they know they can actually produce fabric from waste, and they are working with big names in the industry such as Zara and the North Face.”

Fashion is one of the biggest industrial polluters, accounting for up to 10% of global carbon dioxide output – more than international flights and shipping combined, according to the United Nations Environment Program.

“The fashion industry is a heavy emitter, which makes it a considerably large addressable market. The landscape is definitely changing, driven by a combination of consumer demand and stakeholder expectations and regulation,” Ukani says.

“The share price has come off a bit, but it is trading at a really attractive valuation at the moment – it still has a small market cap but the upside is huge and the next step for the company is to convert some of the pilot orders they have into purchase orders.”

Following the pilot spin, NC6 has sent off batches of fabric to big fashion houses for internal testing and once that testing comes back, Ukani says they should start to see some revenues coming in.