LSTH predicts vertical farming boost from Ukraine disruption

Light Science Technologies Holdings PLC (AIM:LST) said it expects demand for indoor and vertical farming products to be boosted by the disruption to agriculture caused by the Ukraine war and supply chain shortages.

The problems will "drive the desire to grow more produce locally, sustainably and energy efficiently", it said, adding it is well positioned to play its part in tackling these issues.

LSTH, which joined AIM last year raising Ł5mln, reported a 6% rise in revenues to Ł7.4mln in the year to end-December 2021 with losses of Ł2.35mln, which reflected the cost of joining the junior market, said the statement.

A contract has now started with Zenith Nurseries, a major UK salad grower, worth a possible Ł14mln while a new lab is now open in Derbyshire, the statement added.

Simon Deacon, chief executive, said: "This was a pivotal period for the company, with the fundraising and admission to AIM providing the foundations for the next stage of our growth trajectory.

"In our CEM [contract electronics manufacturing] division, we predict there to be no change in the increased demand for electronics. As a result of this and our forward order book, we have begun a programme of investment to automate further production lines to win larger contracts in sensor and medical markets. 

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Photo Courtesy of iFarm

Source: Proactive