Nanovue (ASX:NVU) share price rockets 89% on new customer win

The Nanoveu Ltd (ASX:NVU) share price is rocketing by nearly 90% following a milestone customer win. Here's what the company announced.

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The Nanoveu Ltd (ASX: NVU) share price is one of the best performers on the ASX today, rocketing by nearly 90%. This comes after the company announced a milestone new customer will begin using its Nanoshield products.

At the time of writing, shares in the nanotechnology company are swapping hands for 10 cents apiece, up 88.68%.

Nanoshield is a self-disinfecting film composed of PET foil with a special resin layer, containing an active copper component. The film has undergone scientific testing to guarantee its anti-viral and anti-bacterial properties. It has been proven to eliminate 99.99% of OC43, a viral strain affecting humans that is also a surrogate for COVID-19.

Nanoshield can be applied to a number of surfaces including mobile phone covers, tablets, cases, and other products.

What's driving the Nanovue share price?

Investors are driving the Nanovue share price to a new 6-month high on the back of a positive update.

According to its release, Nanovue has secured leading food and beverage solutions provider, Nestlé Professional as its latest customer.

The partnership will entail Nestlé Professional using customised Nanoshield screen protectors for its out of home coffee machines. In addition, specific Nanoshield products will be available for 'We Proudly Serve Starbucks' coffee machines in selected markets.

This follows Nestlé Professional's own evaluation program which scientifically tested Nanoshield products at its facility in Switzerland. The results are expected to be publicly released in a peer reviewed journal in due course.

While no fixed term contract was signed, the order for Nanoshield is expected to generate $50,000 of revenue for Nanovue.

What did management say?

Nanovue executive chair and CEO Alfred Chong commented:

We are fortunate to be working with Nestlé, such a great global partner, Nestlé who understands the importance of Nanoshield and its efficacy in protecting against viruses– particularly against the COVID-19 virus.

Together both organizations have a strong desire to develop solutions which enable better health and safety outcomes for consumers in the new environment in which we are all now living.

Nestlé Professional head of R&D Zenon Mandralis added:

We continue to explore a wide range of novel solutions such as ordering through apps, touchless machines, and screen protectors to support our customers.

The screen protections are a great solution because they can be easily used on current beverage machines and complement existing enhanced hygiene measures, we already have in place for our coffee solutions.

The Nanovue share price has been accelerating by around 43% year to date however the bulk of those gains have been delivered today. Nanoveu shares reached a 52-week high of 11 cents in May last year. Following today's gains, the company has a market capitalisation of around $15 million .

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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