By Anthony O. Goriainoff
Shares in Sondrel (Holdings) have risen following the announcement that the company has received a payment of 1.5 million pounds ($1.9 million) from an automotive client. Furthermore, the company is engaged in discussions regarding the funding of the project.
As of 0825 GMT, shares have increased by 15% or 0.75 pence, reaching 5.85 pence.
However, Sondrel, a semiconductor business listed in London, emphasizes the need to secure capital before the end of March in order to meet its short-term working capital requirements. The company is currently in final negotiations for ASIC (application-specific integrated circuits) business opportunities, which are expected to commence in early 2024.
Earlier this year, Sondrel announced that the final design for the client would not be achieved until the end of the first quarter. This will involve additional resources and costs to complete. Discussions concerning the funding for the project's extension are ongoing, with the expectation of additional payments in the coming months, including the outstanding GBP200,000 balance.
Sondrel remains optimistic about the demand for its turnkey ASIC services in both the European and U.S. markets. Chief Executive Graham Curren expressed enthusiasm for the positive development of key opportunities in their pipeline. Further updates on new ASIC business opportunities at advanced negotiation stages will be provided in due course.