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RNS Number : 7243Y
Novacyt S.A.
13 May 2019 07:00

LAUNCH OF NEXT-GENERATION qPCR INSTRUMENT

Compatible with Novacyt's catalogue of over 550 molecular tests

Novacyt, an international specialist in clinical diagnostics, today announces its molecular business, Primerdesign, has launched its next-generation genesig® q32 qPCR molecular testing instrument ("q32"), to complement the already revenue generating genesig® q16 instrument ("q16").

As stated at the time of AIM IPO, Novacyt has utilised some of the funds raised to focus on product development and the q32 is a direct result of this investment. The q32 is a larger genesig® real-time qPCR instrument, which provides customers with a faster and higher throughput solution for Novacyt's genesig® Real-Time PCR kits. The q32 complements the smaller, portable q16, which is used in laboratories and in the field and provides customers with an alternative instrument when faced with multiple terrain and off-site testing challenges.

The q32 provides test results within 60 minutes using genesig® kits, making it one of the fastest qPCR instruments on the market due to its rapid heating and cooling capabilities and unique lid design. Like the q16, the q32 is robust and is therefore expected to be highly reliable. It allows the analysis of up to 32 patient samples in tube or strip format, using fluorescence detection technologies. The q32 software also allows users to experience a quick and easy operation for all genesig® kit applications with a straightforward setup process.

Novacyt's extensive catalogue of over 550 genesig® Real-Time PCR kits can be run on the q32 instrument, including human, food pathogens and food speciation testing. As all genesig® kits have an identical running protocol, the q16 and q32 instruments are easy to use for customers of all experience levels and provide results that can be easily compared across the instruments, and across different sites or collaborating groups.

The q32 instrument list price is approximately €13,500 per unit. Since its launch in 2015, Primerdesign has sold over 450 q16 instruments, which lists at €5,500 per unit, and has generated more than €2.0 million in revenues. During 2018, q16 instrument sales grew 39% compared to 2017.

Graham Mullis, commented:

"The launch of our proprietary genesig® q32 instrument is another important step as we continue to deliver against our growth strategy, which includes product development and is a key focus within our molecular business. Like our genesig® q16 instrument, the q32 is designed to make DNA testing affordable and easy to use. We are pleased by the initial interest shown by our customers with our next-generation q32 and we anticipate strong future sales of this instrument. The q32 launch also builds on the recent launches of the genesig® BKV kit and genesig® EBV kit, as we continue to expand our CE-Mark approved molecular product offering."

- End -

Angry, - just a thought but are orders being taken with stage payments?

For instance, if you buy a new kitchen, you are likely to be asked to pay
* 1/3 on initial order, (provider buys hardware with this).
* 1/3 on start work, (tradesmen paid with this).
* 1/3 on completion.

If payments are staged, company need not fund production and distribution before any payment received.

Is this a possibility?

If I am looking back on Friday afternoon over this week, I would expect to find:

1 Still the only CE labelled test kit provider, because we have not heard different.
2 Still the test kit fastest to an accurate result.
3 Due to 1 & 2, plenty of interest from many of the 27(?) EU nations for whom the CE label is not an option.
4 Significant numbers of Request for Quotations, and therefore a number of conversions to orders
as time is pressing (see 1 & 2).
However, - we can't expect 1 order - 1 RNS.
5 Perhaps news of NHS and/or Chinese orders.
6 Possibly news of FDA interest, perhaps even an order.

Goodness knows what the SP will be by Friday night, but it will be significantly better with FDA news.

One poster thought that the company might be better off in a JV to handle the manufacture of testing kits if things go well.
Not that many have discussed licensing to achieve the same thing.

Do we need a JV or licensing, or can we handle as many orders as will come our way if the FDA RNS turns up?

There is only so much the MM's can do with only 60 million shares in issue, and many in sticky hands.
The better the news, the more likely MM's will be looking for shares, the more likely the sp fluctuates wildly.
Either stay bought, or become very good at timing, I'm doing the former..for now.

The last RNS stated that when requested to quote for an order, they were good at converting RFQ's to orders.

It follows that we should not have too wait long for the next RNS stating fresh orders.

Note how long it has been since NCYT has were awarded the CE label, (Friday I believe) and no-one since.

No news this afternoon will see the sp finish lower, but an RNS a.m. tomorrow will buck things up considerably.

On HL there is no spread

The last RNS stated that when requested to quote for an order, they were good at converting the RFQ into an order.
At this stage in the virus circulation, there should be no shortage of quotation requests,
so it follows that we should not have to wait long for the next RNS stating fresh orders.

Now its been a few days since Novacyt announced the CE label, and nobody else we know of has done so.
If this situation stays the same, and the FDA give approval, there will be no doubt in anyone's mind about the best test kit on the market, thus triggering more RNS's

I'm just hanging onto my shares for now, if I sell, I may not get the opportunity to buy back at a decent price.

I believe the wild sp fluctuation we saw today will be the same for the rest of this week.
With only 60 million shares issued, and most in sticky hands, the mm's will for certain try
these tactics again.

I've taken the road to NCYT, however the sole purpose of doing so is to bolster my TRX pot.
Because the BoD made such a fuss about financial runway to end of April instead of March,
I convinced myself not to expect much news in February.
Because the Coronavirus story is really stoking up now, and NCYT have the fastest most accurate test kit
(with CE mark to boot), I rather felt the time had come for NCYT investment.
Up about £2000 at present, still have many TRX shares in case of announcement though.

Best of luck to all in the same boat.

For balance, it helps if you've got the testing kit providing the fastest most accurate result.

I've a way to go before I approach 220% Geordie, but I intend to taper off my holding, and not let go in one bunch.
Lets see how it goes..

Joint venture you say, not licensing then?

I am not sure enough attention is being paid to the fact that the NCYT test kit can produce a result in 2 hours, and they are trying to reduce even that.

Medical authorities will prefer a test that produces a result quickly, because those who do not have the virus can be taken out of quarantine much faster, thus increasing the capacity of the quarantine area.

Also, starting a course of treatment for those who have been diagnosed within 2 hours of the test, may save quite a few lives.

Facts:
1 NCYT is the first to develope a CE-Mark approved nCoV testing kit for coronavirus (2019-nCoV), and it is due to be launched next week.

2 The Primerdesign website has commenced taking orders for the CE-marked test ahead of the planned launch next week.

The question I have is whether market forces are to play a major part in production and distribution of the testing kit.

If the Chinese had developed this test kit, their government might step in and organise laboratories China wide to manufacture the test kit.
Distribution and usage would be state controlled.

Because the NCYT test kit has a CE-Mark, and test results are available within 2 hours (I think this is going to be a unique feature because this claim is not being made by other test kit manufacturers), doesn't that mean the rest of the EU (not to say other nations and the World Health Organisation) will be wanting access to this?

There is a finite number of test kits that NCYT can make available per day, and it won't be enough to satisfy initial demand.

I am making the assumption that it is only a matter of time before authorities will be wanting NCYT to license the kits for manufacture elsewhere.

Happy to hear your thoughts on the situation.

https://www.medicaldesignandoutsourcing.com/tissue-regenix-aiming-for-u-s-market-growth/

From April 2019, this article provides TRX product overview and discusses competitors.

Looking forward to TR-1's tomorrow, should clear the ownership issues a little.

All we can hope for at present is a few more jigsaw pieces.

The following is for reference after large shareholder (II) information is expected to be available on 13.02.2020.

From TRX website "SIGNIFICANT SHAREHOLDERS" 11.02.2020:

Name of Shareholder % of Voting Rights
Link Group 19.98
IP Group 13.72
Jupiter Investment Management Holdings 8.51
Directors & Related Holdings 4.31
Shares not in public hands as at 5 February 2020 - 546,082,326 - 46.6%

Shares in issue as at 5 February 2020 - 1,171,971,322 ordinary shares of 0.5p each

If a placing is planned, why do recent communications from the company put a negative spin on the big picture, such that the sp is adversely affected. - Makes no sense to me.

parkez,
You are completely right.
But in the context of the paragraph in which it occurs, debt restructuring is what I believe they are talking about.

Yes, and it seems that German Tissue bank GBM-v are all set to promote Orthopure XT as well.