ROMEOVILLE, Ill., Sept. 07, 2022 (GLOBE NEWSWIRE) — Nanophase Technologies Corporation (OTCQB: NANX), a leader in mineral-based, science-based healthcare solutions in the beauty and life sciences categories life – with innovations that protect the skin against environmental aggressors and aid in medical diagnosis – today filed an 8-K referring to the fact that BASF, one of its customers, filed a lawsuit against Nanophase in the New Jersey Superior Court.
Among other things, the complaint alleges that Nanophase violated the exclusivity clauses of a supply agreement by selling zinc oxide products through its Solésence subsidiary. In response to BASF’s action, Nanophase in turn filed a lawsuit for declaratory judgment in the Cook County Circuit Court regarding the exclusivity terms of the agreement. Although the management is disappointed to have come to this after two decades of supplying BASF and more than half a decade of operating the Solésence activity, the Company is fully confident in its position and will take the necessary measures. to defend her.
Jess Jankowski, President and CEO, said, “Nanophase has a long-standing supplier relationship with BASF. For half a decade, in a distinct capacity, Solésence has been the company’s engine of value and growth. Solésence and the intellectual property used to manufacture its products – including the unique patented technologies leveraged by our brand partners in the skincare and color cosmetics categories – belong exclusively to our company and are not affected or otherwise licensed. endangered by BASF’s complaint. As such, our value engine, including our growth and growth potential, remains free. We hope to continue to negotiate in good faith to resolve these issues. We do not foresee any immediate or long-term impacts on our ability to produce, sell and develop our Solésence products. »
Kevin Cureton, Chief Operating Officer, commented, “Nanophase, since inception of the Active Stress Defense™ technology platform, has always operated with absolute integrity to safeguard the rights of our key customers while expanding the reach and the availability of the important, life-saving resources and life-enhancing technologies we create. As we regularly tell our brand partners, our ability to succeed is directly tied to their success. With this in mind, we must and will vigorously defend our position to protect the interests of all our brand partners, shareholders and employees. We would also like to assure all of our brand partners and suppliers that this action will not distract or harm our ongoing day-to-day operations. »
About Nanophase Technologies
Nanophase Technologies Corporation (NANX), www.nanophase.com, is a leading innovator of mineral-based, science-based healthcare solutions in the beauty and life science categories, as well as other legacy advanced materials applications. Based on a platform of integrated, patented and proprietary technologies, the company creates products with unique performance, improving the health and well-being of consumers. We deliver engineered materials in commercial quantity and quality both as ingredients and as part of fully formulated products in a variety of formats.
About Solésence Beauty Science
Solesence, LLC, www.solesence.com, a wholly owned subsidiary of Nanophase Technologies, is changing the face of skin health with patented mineral-based technology that is embraced by leading performance-driven and clean beauty brands. Our patented products for brands transform the look, feel and function of mineral actives – enabling never-before-seen textures in the mineral space and never-before-seen inclusion in the solar space. Solésence’s innovative formulations provide best-in-class UV protection, unmatched free radical prevention to protect against pollution, and enhanced antioxidant performance.
This press release contains words such as “expects”, should”, “will”, “believes” and similar expressions that are intended to identify forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements in this announcement are made on the basis of the Company’s current beliefs, known events and circumstances at the time of publication, and as such are subject to future risks. and unforeseen uncertainties that could cause the Company’s results of operations, performance, and achievements to differ materially from the current expectations expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, the following: a customer’s decision to cancel a purchase order or supply contract given the Company’s dependence on a limited number of key customers; uncertain demand for and acceptance of the Company’s engineered materials, ingredients and fully formulated products; the manufacturing capacity and flexibility of the Company’s product line in light of customer demand; the Company’s limited marketing experience; changes in development and distribution relationships; the impact of competitive products and technologies; the Company’s dependence on patents and proprietary information protection; the resolution of disputes in which the Company may be involved; the impact of any potential new governmental regulations that may be difficult to comply with or too costly to comply with while remaining financially viable; the Company’s ability to maintain an appropriate electronic trading platform; and other factors described in the Company’s Form 10-K filed March 31, 2022. In addition, the Company’s forward-looking statements could be affected by general industry and market conditions and growth rates. Except as required by federal securities laws, the Company undertakes no obligation to update or revise these forward-looking statements to reflect new events, uncertainties or other contingencies.
Direct: Investor Relations