A team of PPG scientists and engineers will assist UDC in developing and commercialising UDC’s proprietary organic light emitting devices (OLEDs).
For those services, PPG will receive approximately 550,000 shares of UDC common stock and warrants to purchase an additional 550,000 shares over the five-year initial term of the agreement. PPG’s services will have an estimated value of about $11 million.
PPG will also be UDC’s exclusive supplier of proprietary OLED chemicals, which UDC will resell to its licensees.
PPG and UDC will also work together to enhance the commercial success of UDC’s OLED business and explore opportunities to use UDC’s OLED technology in PPG’s businesses, including automotive products, architectural glass and eyewear lenses.
UDC has been developing OLED technology with Princeton University and the University of Southern California (USC) since 1994. UDC has an 11,000 sq. ft facility includes a pilot production line as well as technology development and technology transfer facilities. UDC is developing OLED manufacturing equipment based upon its proprietary organic vapour phase deposition (OVPD) technology with Aixtron AG, a manufacturer of metal-organic chemical vapour deposition (MOCVD) equipment for the light emitting diode (LED) market.
UDC recently acquired the rights to the OLED patent portfolio of Motorola, resulting in UDC having the exclusive license to 99 US patents relating to OLED technology, and has more than 50 US patents pending. Patents have also been issued in eight foreign countries and numerous patents are pending world-wide.