Surface Transforms (LON:SCE), manufacturers of carbon fibre reinforced ceramic automotive brake discs, has announced that it has been notified of its selection as a tier one supplier of a carbon ceramic brake disc to its existing mainstream customer described previously as OEM 10, one of the world’s largest automotive OEMs.
The selection is for Surface Transforms to be the sole supplier of the carbon ceramic brake disc on both axles of a range of new electric vehicles with common axles. The award covers vehicles where the product is standard fitment as well as vehicles where it is an option. The lifetime revenue on this range of models is expected to exceed £100m with series production planned for 7 years. The Company expects series production to commence in 2027. The contract is priced in GBP.
The vehicle range was part of the Company’s substantial prospective contract pipeline which having now converted increases the value of our awarded lifetime contracts to over £390m.
This OEM 10 contract will require capacity beyond both the current factory footprint and the phase 2 capacity investment program, forecast to provide £75m per year sales capacity in 2025. The timing of this award gives the Company sufficient time to implement the third phase of our capacity expansion to provide £150m per year of total sales capacity. Planning for this third phase continues to be actively progressed and updates will be provided in due course.
