Applied UV Gains After Manufacturing Agreement With Canon
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- Applied UV Inc (NASDAQ:AUVI), a pathogen elimination technology company, has signed a strategic manufacturing and related services agreement with Canon Virginia Inc (CVI), a wholly-owned subsidiary of Canon Inc's (NYSE:CAJ) Canon U.S.A, Inc.
- The financial terms of the arrangement, which marks the first of a series of anticipated agreements, were not disclosed.
- The agreement establishes CVI's status as the primary manufacturer, assembler, and logistical authority for Applied UV's suite of air purification solutions.
- The manufacturing agreement will enable the company to leverage the resources of CVI's two million-square-foot state-of-the-art engineering, manufacturing and distribution facility.
- "Over the past three years, supply chain and logistics disruptions have impacted operations for companies globally, so consolidating and bringing our manufacturing processes on shore with one company was a top priority," said Max Munn, President & Director of Applied UV.
- "By reducing manufacturing execution risk, we will be able to focus solely on sales and marketing," Munn added.
- Applied UV also plans to collaborate with Canon Financial Services Inc to enable better cash flow management regarding its growing supply chain requirements.
- Price Action: AUVI shares are trading higher by 18.74% at $1.1399 on the last check Friday.