Peratech is a world leader in Quantum Tunnelling Composite technology, which was invented by David Lussey, Chief Technical Officer. QTC Materials are a class of materials developed to advance the capability of switching and sensing systems and are already widely used in robotics, defense and telecommunications. QTC Material has novel properties; while in an unstressed state the QTC Material is a near-perfect insulator, with any form of deformation the material starts to conduct and with sufficient pressure metallic conductivity levels can be achieved.
The flexibility of Finance Yorkshire's portfolio of funding options helped to complete the £1.2 million mezzanine deal - a loan investment deal with a small equity-linked exit bonus which suited the company's current requirements and future expectations.
Chief Financial and Operations Officer Doug Balderston said: "We're in a strong position in that we don't need the money now as we're capable of organic growth through the customers and contracts we currently have. "But the technology sector grows very fast so leaving it to organic growth alone puts us at a disadvantage because it risks being left behind by competitors. At the moment, we don't have any competitors, but that's not to say we won't have in the future.
"We have used equity or loan investments in the past, but the mezzanine investment deal helps take into account where we will be in the next three to five years and was therefore a better fit for our business model and strategy than perhaps a straightforward equity investment may have been."
Peratech recently won in the Innovation category at the Queen's Awards for Enterprise for its QTC Technology. The company also took the title of British Venture Capital Association (BVCA) Regional Management team of the year award 2012 for the north east.
Balderston said: "David's experiment to find a conductive adhesive went wrong and resulted in the creation of QTC™ Material - and that is now the basis for