Member Info for JimiHendrix

Yeah there was a lot of demand for stock in the closing auction, bumping the close up to 43p (uncrossing trade)

It closed at 43p, slightly above the 20 day ema :)

Huge support around this level.

Yes I found it strange that CTDA wasn’t mentioned

Quite a few practices in Europe offering LAMP tests as an Express testing service, they're all slower than Genedrive's though. I'll be very surprised if there are no sales reported by the end of this month.

I want an update on the home test eu approval. I can't see the CTDA arriving for at least a few weeks yet - Not one LFT test has been approved, there must be loads of submissions to work through. When an LFT test shows up on the approved list it will start looking promising again.

I wonder what DAM Health's thoughts/plans are? They're bound to use another test provider in the meantime, and the longer it goes on the more stock they will need to use up before needing to make new orders from Omega. I'd expect demand for tests to start falling again around February, as we move towards Spring and the boosters start taking effect.

I'm not sure that they did run out of tests, I'm inclined to think they have as they've stated simply suspended the order system to allow them to process the orders they have and direct people to get them from elsewhere, as to not overwhelm the online ordering/delivery infrastructure.

Next news imo will be something related to DHSC/machinery/funds or the EU home test approval. I can't see the CTDA being awarded any time soon at the aparent slow rate of approvals and the fact they seem to be focusing entirely on approving PCR tests currently. Very frustrating...

Yes they are all molecular tests, not one LFT test. Which is very concerning in terms of timescales, because if they are working through the PCR list first at the painfully slow rate of about 1 per week it could be weeks before they start the LFT test... and who knows where we are on that. I actually think it's more likely we will get a new contract from the government than receive CTDA in the next few weeks.

Frustrating how slowly the CTDA approvals seem to be, barely 1 new approval a week. I wonder how many test submissions they received and where OXD is on the list.

No LFT tests on the approved list at all yet.

After anouncing the new rules Boris was never going to confirm on live TV they have now ran out of tests. Imagine the embarrassment and panic. They've also confirmed today that over 40% of London covid cases are now the Omicron variant and at least 1 person has died from omicron, it's expected there will be 1 million cases by the end of December. My guess is they were unaprepared for the speed of spread.

There is clearly a shortage of LFT's despite Boris's comments, as you can easily order PCR tests online ruling out a website issue.

There are reports that some Pharmacies have been running out too.

I always thought the whole purpose of the DHSC contract, and the government furnishing the machinery was to give them an onshore supplier to manufacture tests incase there were any supply issues with the Chinese ones. I've bought more shares this morning it seems highly likely they will renew or award a new contract, to help them with the monumental demand for LFT tests at the moment, and that demand is only going to increase over the coming weeks.

The CEO said that before Omicron was known about. I’m sure he can see where demand would come from now.

There’s no reason for it to be expensive or take long. It’s a matter of ODX deciding what they plan to do with the machinery, they can use it (both the contract and their tweet support this). Regarding the 2.5m, if their legal advice turns out to be incorrect then I expect a deal will be agreed amicably without any legal action, the main thing is they’ve got £17m of equipment either way. Omega are in a great position, I’m not a lawyer but I do run a business and read quite a few contracts.

It’s a strong yes for me. They can even sell it according to the contract, and there is no clause that says only if the government have moved to phase 2.

I don’t think the contract is as bad as initially seemed. DHSC could have easily collected the machinery. What I’m wondering though is whether they have intentionally not collected it within the agreed time frame or did somebody forget about it lol.

Or sell the machinery, must be worth at least £15m in excellent condition, never used… as new. Pay DHSC back 2.5 and keep the rest. We don’t really need the machinery, plenty of capacity still without it.

That’s not entirely true Gman, page 63 of the contract says they can sell the machinery…

“If, before the Final Date, any Relevant Asset becomes redundant, or is otherwise not used for the purpose of Supply of the Goods to the Authority pursuant to this Contract for whatever reason, then to the extent it is reasonably possible without causing significant financial loss to the Supplier, the Supplier shall (including, where required, subject to and using commercially reasonable efforts to:

3.2.1 Deliver or make available the same to any third party notified in writing to the Supplier, or
3.2.2 Repurpose or reuse the equipment, materials or services for alternative activities or projects, or
3.2.3 Seek refundable returns and cancellations of the same and/or re-sell the land, equipment, materials or services at prevailing market rates,
and shall pay (or deliver in another form of equivalent financial value) to the Authority the value of any refund or any proceeds from the sale received up to a maximum amount equivalent to all Funds which have not been repaid to the Authority by way of a deduction from the Charges.”

Ah it’s worth £17m, thanks I’ve been trying to find this out. Well in this case, they’ve done pretty well! …the contract clearly says they can sell it and use funds received to pay the gov back.

So it’s win-win for ODX, whether they repurpose the machinery to produce tests privately or decide to sell it they will make money from it.

Yes, things will come good here once we get the approvals. People complaining that ODX should have RNS’ed in early October when the contract expired should check the contract, specifically the part about DHSC having to collect the equipment within 1 month of expiry. Seems to me ODX may have waited for that month to pass before seeking confirmation from the government… in order to retain the equipment. I presume the equipment is worth a significant sum of money!

This would explain why, 1 month after expiry they suddenly tweeted they can still use the machinery.