The entire issued share capital of PhotonStar LED Ltd will be acquired for a total consideration of GBP5.1 million, which will be covered by the issue of approx. 51 million Consideration Shares to the PhotonStar shareholders. Also, Enfis has raised approximately GBP2.0 million through the conditional placing of 19.8 million new Ordinary Shares. When the deal is complete the company will have a total of 86.39 million Ordinary Shares, versus 15.2 million at present.
James McKenzie and Majd Zoorob, co-founders and directors of PhotonStar, will become Chief Executive Officer and Chief Technology Officer respectively of the new company. Ceri Jones, the current Enfis CEO, will become Chief Financial Officer of the new company.
PhotonStar offers a wide range of energy-saving LED lighting fixtures to suit many types of commercial or residential applications. The company was founded in 2007, and in the six months ended 30 September 2010, management accounts show that PhotonStar made an operating loss of GBP84,000 on sales of GBP1,456,000.
Once the deal is completed, PhotonStar intends to extend its product range by adding lighting fixtures for architectural and retail markets using Enfis Group arrays and drivers. These new products will be sold through PhotonStar's sales team and existing distribution channels.
Also, PhotonStar intends to use Enfis Group's resources to accelerate the development of its SmartWhite technology which is intended to lower the manufacturing cost of certain products in PhotonStar's product range.
Enfis Group will continue to focus on the supply of arrays and light engines to specialist sectors such as film and TV production lighting and UV curing. PhotonStar intends to drive development of a range of highly integrated light engines and controls for use in general illumination based on a combination of its technology and Enfis Group array products.