snipit7 Nov 2013 13:48
November 06 2013, 12:04pm The company's products are based on natural essential oils and are designed to act against pests but have no effect on humansThe company's products are based on natural essential oils and are designed to act against pests but have no effect on humans
Natural insecticide specialist TyraTech (LON:TYR) has product launches imminent in Europe and the US, says broker N+1 Singer, which has started covering the stock.
In a pivotal year ahead, its deal with Novartis Animal Health and the Envance Technologies joint venture, established with leading US pest control company AMVAC, could transform the company over the next 12 to 24 months, reckons analyst Dr Jens Lindqvist.
"TyraTech has achieved product registrations and approvals in both Europe and the US, allowing near-term launches through each of its portals," said Lindqvist.
The analyst also notes that a preliminary agreement with a leading pharmacy chain in the US has already been negotiated for Vamousse - the firm’s head lice treatment - for commercial launch in 2014 and more deals are expected in both Europe and the US.
The US chain in question has around 8,500 stores in its portfolio, representing close to 15% of retail pharmacy stores in the USA.
TyraTech's business areas are personal care, which includes the head lice treatments; animal health, which is treatments for use in animals; and Envance Technologies to commercialise pesticides for household, agricultural and garden use.
The company's products are based on natural essential oils and are designed to act against pests but have no effect on humans.
The broker's 10 year valuation based on discounted cash flow puts the value at the firm at 9.3 pence, representing a 65% increase on current levels.
This is assuming the successful launch of the firm's personal care products in the USA and Europe.