Hybrid Coating Technologies Inc (OTCMKTS:HCTI) reported that it finalized a definitive deal with a large foam manufacturer. Under the agreement, the two firms will jointly develop foam products using Hybrid’s technology for the shoe, furniture and mattress verticals.
Hybrid’s associate has various Fortune 500 clients, many of whom are participants in the (C)Zero Discharge of perilous Chemicals entity www.roadmaptozero.com. This deal holds considerable significance for Hybrid as the combined value of the shoe, furniture and Mattress verticals for the polyurethane market is expected to touch $10 billion by 2018. It will account for almost 15% of the polyurethane industry.
The management speaks
Joseph Kristul, the President and CEO of Hybrid said that they are very delighted to have finalized this deal as it offers the company access to an extended network of leading Fortune 500 firms. This deal enables them to address three main verticals of the polyurethane industry with a partner as Hybrid Coating continues to follow the planned strategy of having a presence in all the largest divisions of the polyurethane industry.
As a part of the definitive agreement, Hybrid Coating will manufacture foam products to different specifications which will then be supplied through its associate’s distribution network of clients. The company will retain exclusive ownership and intellectual property rights of all developed foam goods arising from this deal.
So far, Hybrid is working on the products in conjunction with numerous partners in different segments of the polyurethane market including Paints and Coatings, Shoe and Mattress, Spray Foam Insulation, Apparel, and Furniture. It intends to venture into some additional verticals in the coming period as part of its market penetration strategy.
Generally it’s rare that a stock enjoys a gain of 12.50% in a single session and finally that turns out to be insignificant from the larger perspective but that exactly is the case with Hybrid Coating Technologies Inc (OTCMKTS:HCTI). The stock closed with a gain of 12.50% yesterday but the final closing price of $0.0036, very close to the day low of $0.0034, robbed it of any positive implications. The weekly candle so far is a long bearish Marubozu and the entire decline in the last 12 months is nicely encased in a declining channel, pointing towards more weakness from every point of view.