The Weebit Nano Ltd (WBT: ASX) share price has surged today following the release of its Q1 FY21 update.
In early morning trade, the technology company's share price has risen 17.6% to $1.56. In comparison, the All Ordinaries Index (ASX: XAO) is dead flat at 6,381 points.
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Q1 FY21 update
For the period ending 30 September 2020, Weebit reported significant technical progress despite COVID-19 challenges. Its ReRAM technology is on track to transfer to the semiconductor fabrication plant, bringing it a step closer to commercialisation.
During the quarter, Weebit received $2.75 million from a successful capital raise, further strengthen its balance sheet.
Operating cash flows consisted of staff costs and administration, which totalled $1 million for the 3-month period. Payments to related parties over Q1 FY21 were $584,000, which also included fees paid to the directors.
Weebit closed the quarter with $9 million in cash on hand and equivalents
ReRAM progress
Weebit announced on 7 October that it had completed the stabilisation process for its ReRAM technology at Leti's development facilities.
The stabilisation process saw reduced cell-to-cell and die-to-die non-uniformity, which increased the level of functional cells and batch-to-batch repeatability. The key requirement achieved improved memory functionality to 99%, and was in line with industry standards.
Weebit CEO, Mr Coby Hanoch commented on the milestone:
The successful completion of the stabilisation process follows four years of extensive research and development by the joint Weebit and Leti engineering teams, which has created a unique and highly competitive ReRAM technology. We remain on track to initiate the transfer our technology to a production fab by the end of the 2020, with discussions already underway with potential production partners.
Management appointment
In September, Weebit appointed Mr Eran Briman as vice president of marketing and business development. The role will see Mr Briman defining the company's business model and structuring partnership agreements.
Mr Briman's background entails extensive knowledge of the semiconductor industry. He previously held the title of vice president marketing and corporate development at Ceva. Mr Briman was responsible for outlining the business strategy, stakeholder relationship management, and enhancing market penetration into various applications. This included mobile, automotive, artificial intelligence, and internet of things (IoT).
Commenting on the appointment, Hanock said:
Eran's vast industry experience within the embedded and standalone memory markets will be invaluable as we continue to engage with potential partners and customers to secure first commercial agreements. In the future, we will also leverage Eran's knowledge of the Artificial Intelligence domain as we look to commercial our neuromorphic computing technology.
Outlook
Weebit noted it is now engaging in discussions with a production partner ahead of its technology transfer to the production fab. This follows the successful testing of its silicon oxide ReRAM technology meeting all production requirements.
The development of the memory module remains a key priority for Weebit, and the company reports it is on track to be available to market.
The Weebit share price has skyrocketed this year, up more than 280% since 2 January.
