PPK Group Limited is pleased to announce that it has partnered with Xefco Pty Ltd (Xefco) to form a new joint venture company, Survivon Ltd (Survivon) which will commence immediate local production of anti-viral and antibacterial face masks using Xefco’s developed technology.
An independent study by the Peter Doherty Institute for Infection and Immunity has shown that the technology to be used by Survivon is able to inactivate SARS-CoV-2 in five minutes.
PPK Group and Xefco Pty Ltd partnership
Further details on this study cited by Xefco are set out in Annexure 1 adding that Survivon will also look to licence this technology to international manufacturers around the world.
PPK and Xefco will each own 47.6% of Survivon with the balance held by Matthew Bailey.
Following PPK’s core technology investments into BNNT in particular, this new initiative in the healthcare space is consistent with PPK’s technology commercialisation strategy and focus on nanotechnology breakthroughs with global application in large markets.
It also represents yet another successful collaboration with Deakin University which has been instrumental in assisting Xefco with the testing and refinement of this face mask technology.
The functional mask technology is based on an ultra-thin / nano-scale coating of 99.95% pure copper, applied to the surface of the fabrics using a vapour deposition process.
The tech was developed by Xefco with Deakin University’s Institute for Frontier Materials.
While highly visible, the application does not change the feel, breathability or weight of the underlying fabric. The technology can be applied to a broad range of materials.
A demonstration of this technology can be found on the PPK website.
The key features of the joint venture
Xefco has assigned certain valuable intellectual property rights to Survivon. Leveraging its know-how and experience it will manage the research and development of new products.
PPK will imminently contribute $4.5m in cash on completion in exchange for its equity, less the sum payable by Survivon for the purchase of the Mask Innovation Pty Ltd shares from PPK.
This cash will be used for Survivon’s ordinary working capital.
Survivon will operate with a separate management team, led by Matthew Bailey as either Chief Executive Officer or in another senior managerial capacity.
Survivon’s Board will initially have four directors, two nominated by each of PPK and Xefco.
In addition, PPK will furthermore contribute technical skills and know-how to assist Survivon in developing and commercialising new products as and when required.
As part of this transaction and to facilitate a rapid move into manufacturing of the new face masks by Survivon, PPK will transfer to Survivon its 100% shareholding in the business of Mask Innovation Pty Ltd for approximately $1.6m plus ordinary operating adjustments.
Mask Innovation was acquired as a going concern by PPK in August 2021 for $1.5m with key members of the previous management team retained.
It is a TGA approved, PPE mask manufacturing business based on the Gold Coast producing N95/R2 (everyday use) and 3 ply surgical (molded to a face) masks. Survivon will thus have production capacity of around 5 million masks monthly and will increase this capacity.
The freehold title to the business premises of Mask Innovation will continue to be held by PPK.
Xefco is an Australian-owned company and a leading developer of advanced manufacturing methods to create textile technologies with additional functional antiviral technology.
PPK’s comments on the joint venture
“BNNT and its associated spin-off technologies such as Li-S Energy battery project and White Graphene are clearly the major focus of the company.”
“PPK is always on the look-out for new opportunities to back breakthrough technologies, particularly in the nanotechnology space and with the involvement of leading Universities like Deakin, that are ready to be brought to market on an international scale.”
“The chance to combine the manufacturing assets of PPK’s Mask Innovation business with leading science developed by Xefco in conjunction with Deakin University represents a tremendous commercialisation opportunity with global application.”
“It is also an incredibly timely one and yields a likelihood of making a very practical and immediate difference in combating one of the great healthcare issues of our time.”