PALO ALTO, Calif.--(BUSINESS WIRE)--June 21, 2004--In a recent study, World Carbon Nanotubes Market, Frost & Sullivan highlighted Nanocyl S.A. as an emerging company with a great vision. Nanocyl has been enabling an emerging technology while making sure that it grows with the technology, overcoming numerous hurdles that confront a small company.

Nanocyl specializes in the production and functionalization of nanotubes, enabling it to integrate carbon nanotubes (CNTs) into polymers, metals, and biomaterials. Intellectual property (IP) is a valuable asset in a promising technology area such as CNT and Nanocyl is fully aware of this. With 2004 being declared primarily an IP year, Nanocyl is set to significantly increase its already impressive IP portfolio.

Based in Belgium, Nanocyl is a young spin-off company formed from Prof. Janos.B. Nagy's laboratory at the University of Namur in February 2002. Nanocyl's product portfolio offers a complete range of CNTs ranging from single-walled nanotubes (SWNTs) to double-walled (DWNTs) and multi-walled nanotubes (MWNTs) and functionalized nanotubes to its research clients. Besides offering standard products to commercial customers, it has developed specialized CNTs for specific applications such as field emission devices (FED) and polymer composites.

"The DWNTs that Nanocyl offers are in between those of SWNTs and MWNTs and offer the best of both worlds," says Frost & Sullivan Research Analyst Swaminathan Srinivasan. "While proprietary purification methodologies enable over 95 percent pure CNTs, Nanocyl continues its pursuit to develop new processes for producing high-quality CNTs in a mass scale at a non-prohibitive cost."

Nanocyl has had fair success in this endeavor, which is likely to stand the company in good stead as nanotube-based applications start becoming available in the commercial market. It will start mass production of CNTs in ton quantities this year and has concrete plans to make another major jump in production in 2006. The potential applications for CNTs are huge and Nanocyl, with its excellent research and management, is all set to reap the benefits in the near future.

For its excellent entrepreneurial skills, proactive business model, and accurate understanding of the industry, Nanocyl is the recipient of the 2004 Frost & Sullivan Entrepreneurial Company Award.

The award is given each year to the company that has demonstrated superior entrepreneurial ability in its industry. This award signifies the company's identification of a unique and revolutionary product solution with significant market potential. Additionally, it certifies that the company's marketing strategy is sound and poised for success.

Nanocyl's sound technical knowledge of CNTs coupled with strong management skills has enabled it to build successful partnerships with key industry participants. In 2003, Nanocyl collaborated with cable manufacturer Kablewerk Eupen, Belgium to manufacture the first prototype of a two-kilometer-long electrical cable shielded with a fireproof layer of a nanotube nanocomposite.

Besides building relationships through European Union (EU) and national programs, it is also the main supplier for several EU projects. Asia remains a key market for CNT and Nanocyl has clear plans to collaborate with key Asian companies and establish distribution networks there. More than 80% of its current sales are done outside the EU, mainly in the United States and Japan.

Nanocyl's advantage lies in its continuous innovation, flexibility, and smart business methods. Together with an experienced and dedicated research team, this seems to spell a very bright future for the infant enterprise.

About Nanocyl S.A.

NANOCYL is a young spin-off company founded in February 2002, emerging from the University of Namur (Belgium) and supported by individual and institutional investors.

The purpose of NANOCYL is to develop a new business for the supply of Carbon Nanotubes based on an existing strong portfolio of intellectual property.

NANOCYL is one of the first companies to be established in Europe for the commercial supply of this family of novel material. Currently, pilot production is dedicated to associated laboratories and industrial partners for research and development. In parallel NANOCYL is investing in production equipment, laboratories and process development at their new facilities in order to supply commercial quantities of carbon nanotubes.

NANOCYL is working with several industrial companies to develop new products based on carbon nanotubes in order to give them a competitive advantage in their respective market.

Like diamond and graphite, carbon nanotubes are another form of pure carbon. The hollow cylindrical form of this family of carbon molecules gives them truly exceptional properties. These property combinations potentially address a large field of applications in areas such as: artificial muscles, biosensors, conductive coatings, composite materials, flat-panel displays, hydrogen storage, microelectronics, technical textile, and ultra-capacitors.

For more information, visit www.nanocyl.com

About Frost & Sullivan

Founded in 1961, Frost & Sullivan is recognized as a global leader in growth consulting. Frost & Sullivan awards are presented to companies that demonstrate excellence in their industry through diligence, commitment, and innovative business strategies required to advance in the global marketplace. Frost & Sullivan rigorously analyzes specific criteria to determine award recipients in a vast variety of market industries and landscapes. For further information, visit www.frost.com.