Aug 12 2010
PureSpectrum, Inc. (OTCBB: PSRU) and Ultra-Tech™ Lighting (Ultra-Tech) signed a cross licensing agreement authorizing the two energy efficient lighting companies to represent and sell each other’s product lines immediately into all distribution channels.
On July 6, 2010, PureSpectrum and Ultra-Tech, a New Jersey limited liability company, announced entering into a letter of intent outlining a potential combination of the two businesses. The cross licensing agreement does not replace or supersede the letter of intent and will not affect the timeline for concluding ongoing discussions regarding the potential combination of the two businesses. At this time, the companies have not disclosed specific proposed terms and timing of the business transaction.
The cross licensing agreement enables both companies to immediately expand and diversify product lines, allowing each company to more fully address customer demands for particular application. PureSpectrum offers a full line of dimmable Compact Fluorescent Lamps (CFL) and multiple dimmable linear fluorescent lighting products, and Ultra-Tech has introduced a broad range of induction lighting products which target commercial and industrial market segments.
Ultra-Tech Vice President of Sales Mark Wilkinson said primary cross-licensing benefits include the capability to fully address customer needs that extend to dimmable CFLs and related ballast technology, “Incorporating PureSpectrum’s products into existing bids allows Ultra-Tech to provide holistic solutions encompassing high efficiency outdoor and indoor renovations and new construction.”
“The ability to cross sell products works exceptionally well for both companies since we have complimentary energy efficient lighting that covers virtually all applications from commercial and industrial to residential,” Wilkinson said. “Ultra-Tech has a strong presence in the Midwest and along the Eastern Corridor that includes New Jersey, New York, Connecticut and Pennsylvania. We can now offer our selling channels PureSpectrum bulbs, making us a one-stop source for MIL, LED, and CFL technologies. Ultra-Tech’s retail sales channels are interested in high quality dimmable CFLs, and our cross license will considerably strengthen the ability of both companies to be aggressive in pursuing and closing sales.”
PureSpectrum Vice President of Sales Peter Weller said he is receiving steady interest from manufacturers’ representative groups from multiple geographic areas who are interested in the energy savings and longevity that highlight the benefits of magnetic induction lighting (MIL).
“In addition to broadening the breadth of our product line, this cross licensing agreement will open avenues to additional revenue streams that we may not have been able to access without induction lighting products in our catalog,” said Weller, who said the company is already preparing quotes which incorporate induction lighting. “The popularity of induction lighting is escalating rapidly for a number of reasons, and leading manufacturers’ representative groups know they need induction lighting in the product mix to properly serve today’s industrial and commercial customers. If a manufacturers’ representative group or distributor wants to be considered a proactive provider of leading edge energy efficient lighting, they are handicapping themselves in the marketplace if they aren’t offering induction lighting.”
Source: http://www.purespectrumlighting.com/