Light Science Technologies Holdings (LSTH) has announced a pre-IPO investment of £1m from Intuitive Investments Group plc (IIG), as it prepares itself for an initial public offering and to trade on the London Stock Exchange in the first half of 2021.
Regarded as a significant milestone for the Derby-based tech start-up, the move to become a publicly listed company follows significant investment in the development of its team and operations over the past few years.
Through its combination of controlled environment agriculture (CEA) technology and UK-based electronic manufacturing underpinned by years of research, LSTH has brought to market a fully updateable, bespoke and intelligent lighting solution that provides optimal yield.
With better light quality and energy savings, its light, science and technology products provide more productivity and increase production cycles across the main three growing environments of vertical tiered farms, glasshouses and medicinal plants.
Its patent-pending, sustainable luminaire combines interchangeable LEDs, power and technology to help reduce costs and generate maximum yields over 25 years.
The company is also due to launch its own in-house growth and laboratory services in the Spring that will focus on plant growth and performance to help farmers create the right recipe.
The announcement also follows LSTH’s recent grant from Innovate UK’s Science and Technology into Practice feasibility competition, as part of its £90m Transforming Food Production (TFP) programme. Over the next six months it will be working in partnership with Nottingham Trent University to develop a growing sensor and innovative transmission node for vertical farms.
With a CAGR of 21%, the CEA market is growing fast with increasing demand from AgriTech CEA farmers looking to install or replace existing indoor farms to achieve potentially significant ROI.
The business is also working on a longer-term development application in non-invasive medical diagnostics.
Simon Deacon, CEO of Light Science Technologies Holdings added: “We believe that there is no better time to be involved in both AgriTech and MedTech as two rapidly expanding sectors which are going to be responsible for spearheading some of the most significant global developments over the coming decade and beyond.
“IIG’s investment is not just a reflection of its commitment to LSTH as a fast-growing business backed by almost 30 years’ expertise in light technology but also of its awareness of the importance in achieving a better, more sustainable approach to agricultural production as well as pioneering potential life-saving solutions in digital health innovation.”
David Evans, Chairman of IIG, said: “LSTH has the key ingredients for success; it has an excellent management team, a deep knowledge of the light spectrum and the application of that knowledge to areas where substantial growth can be obtained. I am personally excited about the potential diagnostic applications in the digital health sector, such as non-invasive haemoglobin measurement, as well as the developments in vertical farming technology that will underpin the long-term growth of LSTH.”