Hoffmann Green extends its partnership in the United States with the activation of a new licensing option
Hoffmann Green announces a further extension of its licensing agreement in the United States with its partner Hoffmann Green USA, signed in July 2024, resulting in the exercise of an option for an additional entry fee of €10 million.
Hoffmann Green USA has renewed its confidence in Hoffmann Green, convinced by the performance of the company’s 0% clinker cements and the growing appeal of this innovative technology in the US construction market. In this context, the American partner has decided to extend its licensing rights to 25 states in the western United States. This decision, reinforced by the recent ASTM C1157 certification, the US benchmark standard for innovative cements based on strict strength and durability criteria, confirms the industrial and commercial relevance of its technology in the North American market.
In return for the industrial and technological transfer and the exclusivity granted in these new territories, this extension gives rise to an additional entry fee of €10 million, which is added to the €10 million entry fee corresponding to the previous option exercises in Eastern states. As a reminder, the license agreement also provides for the payment of fixed and variable annual royalties, calculated based on the revenue generated by the sale of Hoffmann Green cement in the countries concerned. In addition, Hoffmann Green USA has the option to sublicense Hoffmann units in these new territories, representing an additional growth driver for Hoffmann Green. Discussions are underway with several potential sublicensees.
To support the implementation of its solutions in the US market, Hoffmann Green is continuing its certification work, particularly to obtain AC 529, the second benchmark certification in the United States for superstructure applications. This certification allows H-UKR to be included in the ACI 318 (American Concrete Institute) standard, the reference code for the design and safety of concrete structures in the United States. Equivalent to the ATec Superstructure assessment recently obtained by the Company in France, obtaining AC 529 certification will trigger the payment of entry fees by the partner.