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"And that reason is very simple to understand. Even though the Brazilian market has a 70% share of biological products in the management of nematodes, some precautions in their application in the field still need attention, such as storage and transport temperature, shelf life, compatibility with other products and influence of environmental conditions after their application.
PHC68949 (TEIKKO) is a peptide with a unique mode of action, based on PREtec – Plant Response Elicitor Technology and brings benefits in nematode management, such as ease of storage, three years of shelf life, compatibility with other products, including fungicides, ease of use in seed treatment and consistent efficiency in different environmental conditions."
https://www.linkedin.com/posts/plant-health-care-brasil_phc68949-the-only-bionematicide-that-protects-activity-7146490086690402304-9ZcE?utm_source=share&utm_medium=member_desktop
Volumes are seriously low across the board, not a great time to unload when many will be away from their desks.
Seriously, it’s the same pattern every day. The SP drifts up (because it’s massively oversold) only for a bunch of managed sells to hammer it down. It’s like ‘whack a mole’ with one mole and a pylon driver.
I assume Biotalys doesn’t have a huge shareholder selling the wheels off its shares. We’re not going anywhere until the overhang is gone.
I would prefer a forum debate if possible to get all sides of the discussion, that said an IMC type presentation along the lines of Wilbur Ellis earlier this year might a good idea.
On a basic level, a Polypeptide is just a collection of peptides so not that different, if the end product is the same with the same efficacy then surely market valuations should be similar.
Biotalys currently sits at over 10 times Plant Health Cares valuation with no revenue, and no revenue expected until 2026 at the earliest.
Has to be scope for some sort of a collaboration with Biotalys I would have thought.
IP
Suggest you pitch up to the AGM. CR has been there the last two times and happy to discuss the tech.
Is there anyone knowledgeable on these topics to explain the commercial differences Plant Health Cares offering and Biotalys.
It would be great to have a discussion around this as it might add real value for shareholders, understand the long chain (Polypeptides) v peptides but beyond that little bit lost.
The more I look at Biotalys the more I see similarities for instance their Evoca product has many of the features of Saori including the fermentation process to extract peptides, or as Biotalys refer to them 'Polypeptides.
Biotalys’ AGROBODY Foundry™ could arguably be similar to Plant Health Cares PreTec platform, lots of superlatives being used but from a lay persons point of view many characteristics are the same.
There is however one big difference, and that's the valuation:
'Biotalys Nv is listed on the Euronext Brussels trading with ticker code BTLS.BR. It has a market capitalisation of €152.45m'
..meanwhile Biotalys continues its run, up 40% in two days, more than doubling this month.
I would agree, also year end (see earlier post)
From this mornings RNS James is stepping down also which may mean an end to Griffiths involvement.
As of 15th Dec remaining 18,931,000
Nice gesture by management on pay too, helps stretch out the runway past delayed registrations.
Still selling...........I wouldn't be surprised if he sells his entire holding, which means we will experience subdued SP for some time to come
Interesting Bloomberg article about India depleting it's ground water; clearly they will need treatments that help with drought stress in the future:
https://www.bloomberg.com/features/2023-feeding-india-water-crisis/
London South East (this web site) also has delayed price information
Biotalys Nv is listed on the Euronext Brussels trading with ticker code BTLS.BR. It has a market capitalisation of €121.96m, with approximately 32.09m shares in issue.
https://www.lse.co.uk/SharePrice.html?shareprice=BTLS.BR&share=Biotalys-Nv
Both Eden and Biotalys having a good day, Biotalys up 17% on US developments
Biotalys Announces Results of Independent Field Trials in the U.S.
https://tinyurl.com/348c4575
If funds have a small rump left will likely sell before year end, start afresh for New Year.
Done the same but buying to round up ISA account, few more should take me to 1%
In the email response I received from JT last week, many London investors have told them that the AIM market is broken. I agree, there seems to be a disconnect with reality.
Sales may be affected in the US, but Brazil has a worse economy and we get the following posted on Linkedin from the Brazil team.
-------------------------------
CELEBRATING IS NECESSARY
Between 12/13 and 14, we gathered the entire PHC Brasil team to celebrate the achievements of 2023 and align our priorities for 2024.
In a year in which the input sector faced high levels of inventory in distribution channels and low availability of credit and financing, we, at PHC Brasil, have a lot to celebrate:
🍀 Increased sales of H2COPLA in sugarcane and other crops such as coffee, soybeans and corn in Brazil;
🍀 Expansion of sales to Argentina in wheat and soybeans;
🍀 Registration of MOSHY,™ the 1st fungicide of PREtec technology for the control of coffee rust and orange rust of sugarcane, scheduled for launch in 2024;
🍀 Approval by MAPA and Anvisa for the WP PHC68949, the 1st nematicide with PREtec technology in soybean seed treatment and foliar application in perennial crops, with registration expected in early 2024 in soybean;
🍀 Strengthening partnerships with , H2COPLA, and , for SAORI, the first fungicide with PREtec technology for the management of foliar diseases,® applied in seed treatment.
Thus, we would like to thank all those who have accompanied us this year and wish you a Merry Christmas and a new year full of achievements.
Eden is another more local example, already put the figures up before but with todays increase it puts Eden at over twice PHC's market cap with 1/5th of revenue.
Biotalys AR for last year is quite interesting, its similar in some ways to Plant Heaslthcare in presentation and layout, it's very much still an R & D company with asperations to commercialise product in 2026 subject to registrations.
Its easy to forget the time and effort PHC has taken along this path, reading Biotalys progress so far is a good reminder.
Quick glance at figures for 22 from Yahoo (EUR)
Total Revenue 0
Net income -22.7m (21 -17m)
Market cap (not current) 38m
This might have been one of the considerations during recent consultation, relist on Euronext to access a larger investor pool.
Biotalys is often mentioned as a benchmark for PHC, indeed it has more or less tracked the downward drift similar to PHC, where it differs is the recent rally following a strategy update.
These guys are well behind PHC in terms of actual product yet command a much higher valuation.
https://finance.yahoo.com/quote/BTLS.BR/financials?p=BTLS.BR
Their US office s only a short drive from PHC in NC.
Earlier this year, PHC consulted shareholders about the company’s listing on AIM. This was due to frustrations following the feeble market impact of positive price sensitive news. The company decided to commit to AIM, but were aware that many London investors felt that the AIM market was broken. Despite the current share price, the company believes it has the right strategy for the business. The issue this year is related to overall inventory at the distribution level (for crop protection and fertilizer) which is causing greater issues than in past years. Also, interest rates are impacting grower buying decisions which is causing issues with distribution. It’s worth noting that Mexico, Europe and Brazil businesses are up double digits’ year over year. The Brazil market is in much worse shape than the US market related to inventories and impacts on the market. Nevertheless, PHC’s working capital remains in very good shape in Brazil.
Concerning new distributer agreements, there have been three new agreements this year and the company expect to announce new agreements in 2024 to expand their global footprint. Importantly there are no problems securing deals. Furthermore, there may be a need to diversify distribution partners in the US, but the company will need to be careful. If the company bring on a new customer, they need to make sure there is PHC field support for them and with limited resources they need to be careful not to add OPEX.
There are obvious current headwinds, but PHC is very well placed in this space with proven technology and broad market access which separates PHC from other companies in the biological space. Once the new registrations are approved in several markets, we should see further expansion globally (e.g.: India).
This is my personal (but objective) take on PHC following a communication with the company today.
Worth read, Agro-K will be become part of this group.
https://www.rovensanext.com/en/news/press-releases/rovensa-group-launches-rovensa-next-a-new-global-biosolutions-business-unit-to-shape-a-sustainable-future-for-agriculture/
Rovensa Acquires U.S. Biostimulant Company Agro-K
By Rovensa
|December 5, 2023
https://www.croplife.com/crop-inputs/rovensa-acquires-u-s-biostimulant-company-agro-k/
Hope I’m not cheering too soon.
I also hope this rise coincides with a big product order.
Doing the same 2p, PHC has to be vulnerable down here. Market cap is hoovering around this years revenue which seems a bit too cheap even in the current climate.
Its hard to calculate the exact cash position but using various scenarios they should be good to around mid 2024 by which time market conditions should have improved, key registrations for India and US should help also assuming approval.
Scobie , Newlands seem supportive but perhaps too they recognise just how vulnerable PHC is at the moment - interested to see if Ospraie AG Science join the fray.
Bring their averages down a bit from Griffiths loss