It is now time to put the past year aside. Even though financial swings cannot be controlled or limited by the calendar, 2009 will probably be spoken about as a lost year. But thanks to Obducat’s Sindre®400, and that the Company with the completion and delivery of this the first, world-unique, and fully automatic nanoimprint machine for high volume production in the LED industry, actually made a pioneering installation – the first of its kind – we can, right from the chilly 2009, feel a certain contentment with the year that passed but, above all, great optimism ahead.

For Obducat it was otherwise a year that came to emphasise the importance of patience and endurance. Now that the market is slowly recovering during 2010, Obducat is coming out of the crisis strengthened and with increased ability to compete. Of particular interest will be the LED related market, which is expected by the trade to slowly gather momentum towards the latter part of 2010 and the following year. It offers good possibilities for Obducat to achieve commercial success with its technology.

Obducat in prime position

All around us the opportunities for and the confidence in the nanotech industry are growing with unchanged force, irrespective of financial crisis and other variables. More and more trades are beginning to realise the extent of the future impact of nanotechnology, and are starting to adapt their long-term strategies accordingly. Obducat’s versatile nanoimprint solution, with its low-cost profile and “future-secured” technology platform, has every chance of benefiting from this development. The fact that the Company made an early start in the nanoworld, 20 years, and looking in the rear-view mirror, according to many too early, it should instead turn into a great strength and of great advantage over the next few years. As a small company, Obducat has been forced to align its plans with the assessments and requirements of larger customers. This has not always been easy, since also well-informed, international major corporations for various reasons, sometimes technological or financial like in 2009, have been forced to change their plans, which of course has made it difficult also for Obducat to plan the road to market expansion.

Important and rewarding EU projects

During the past year Obducat joined two EU funded projects and more projects are due, for instance Polaric, involving application areas like hard disks and optoelectronics/LED. Aside from taking part in these projects Obducat’s own research is supplemented in a favourable way, and it also creates contacts with the rest of Europe. The projects can to a certain degree serve as a display window for Obducat’s activities as well as leading to a deepened partner network at home; an important complement in the future, considering that Obducat’s customers are located primarily in Asia and in the US.

ESS in Lund an exciting opportunity

In last year’s annual report I expressed hopes on ESS, the European Spallation Source, being located in Lund (and thus in Obducat’s immediate surroundings). As we know, the decision concerning this was made shortly afterwards, and all at once Lund was placed on the world map of research in materials science. Though it might take several years before the ESS is finished, already the optimism and the joy cannot be mistaken. The giant project with its enormous research facility in materials science will without doubt be of great importance, especially for the Öresundregion and certainly not only in the academic world. And this already now, when coming into existence.

Swedish nanotechnology’s big chance

In Sweden and its immediate surroundings, cutting-edge nanotechnology research is already conducted in some places. The ESS in Lund will further improve the opportunities for Sweden to become a powerful force in some of the most important development areas in the nanotechnology sphere.

Obducat is a good example, and despite the smallness of the company, it is internationally renowned in our application areas.

Over the next few years it is of utmost importance that Swedish authorities focus on the value of a uniform and well thought-out policy for all the opportunities that exist and which are now emerging from nanotechnology in Sweden. Within the EU, large amounts of resources are invested in big and well coordinated research projects. VINNOVA’s report “National strategy for nanotechnology” published in January 2010 – increased innovation capacity for sustainable public welfare (available on vinnova.se) can be seen as an eagerly awaited positive level of ambition to be embraced.

With its ambitions regarding materials knowledge and nanotechnology, I hope to be able to look forward to the Öresund region continuing to establish and develop its position, from an international perspective, as a nanotech centre of excellence. Companies like Obducat need such a centre when growth arrives in the wider sense, with access to trained staff and research capacities. Oftentimes nanotech companies need financial support on an entirely different level compared with what one has been accustomed to at start-ups in other, previous technology areas.

During the past 10 years approximately SEK 7.5 billion related to nanotechnology have been invested in the Öresund region (estimated by Öresund University), and it should be noted that the big contribution, corresponding to 6 per cent of the said amount, that Obducat’s private shareholders have invested since the phase of ideas has contributed to Obducat arriving at where it now stands with its Sindre®400. Obducat has been forced to focus heavily, and it ought to be of interest to authorities and other interested parties to know that we are getting more attention regarding future opportunities pertaining to our technology from countries like Hong Kong, Russia, Taiwan and the US than what we have so far received at home.

With an ever increasing demand from the market and other challenges emerging, the years to come will be of decisive importance to the future world stage of nanotechnology.

In its everyday of life, of course Obducat has other things to do than to engage in thoughts on structure and aspects of economic policy; we shall first and foremost concentrate solely on reaching profitability and growth in the LED market. At the same time, it would be wrong not to touch upon the immediate world around us and to strike a blow for the nanotech companies, and, with the starting point we have in the world of nanotechnology after 20 years, point at the attention that those in the picture think we very well deserve. Why, Obducat is one of the pioneers in Sweden – especially in the Öresund region. 

An eventful period is beginning

With the introduction of Sindre®400, Obducat’s long conversion period to industrial provider was concluded and a new even more intensive period began, with a new CEO, Lars Tilly, at the helm. Over the next three years, a number of models, specifically adapted to various application areas, are planned based on Obducat’s industrial platform. Despite the delaying effect of 2009 on many processes, Obducat got yet another intermediate goal out of the way in its long-term strategy.

To conclude, the Board would like to thank management, co-workers and owners for their efforts and staying-power. With their solid support at our back it is impossible not to take on Obucat’s future challenges and opportunities with great confidence. The Board estimates that the Company, by being active on the financial level in 2010 and focusing on the area of LEDs – might be able to achieve positive cash flow in less than two years. This shall be the CEO’s and management’s, and all “Obducaters’” highest priority.

Henri Bergstrand
Chairman of the board