The Motley Fool Take: Is Nanophase Ready? (Philadelphia Inquirer)
- For those who believe that nanotechnology is the biggest of all the next big things, the story of Nanophase Technologies (Nasdaq: NANX) should be a cautionary tale.
Having become the first true nanotechnology public company way back in 1997, it reported rapid growth and promising developments. Sure, there were lots of losses, but that is not unusual for young firms.
Then sales began to slow, customers began to withdraw from deals, and customers began to report that Nanophase's proprietary nanopowder metal oxides did not mix in their factories as they did in the samples. While Nanophase resolved this problem, a few class-action lawsuits from investors cost the company several million dollars, and growth stalled. Nanophase management took action. More here