Cellnet (ASX:CLT) has revealed it is no longer an Australian distributor of Sandisk flash memory products.
The flash memory and mobile phone accessory distributor said it would only distribute Lexar and Transcend flash memory in the market.
Cellnet said the partnership with Lexar, which it entered into 18 months ago, has left it in a strong position in the flash memory distribution market.
As a result, the company does not expect the end of its relationship with Sandisk to impair profit in the current half year.
Cellnet plans to make a further release of working capital of around $500,000.
In June, Cellnet and memory vendor Patriot Memory severed their own distribution relationship, with Cellnet stating that the decision was due to its focus on Transcend products.
While the company's share price has eroded from $1.60 to $0.35 in little over a year, CEO Mark Bloomer in July moved to reassure investors that the company will be around for the long haul.
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