Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
If they double or triple capacity to meet demand - it’s hard to say.
Based on current capacity- probably £2.50
I know the plan is to make 2 million tests per week total - Unclear if that this represents net new capacity or not.
Rishi Sunak is considering a multi-billion pound tax cut to encourage big companies to invest in machinery and factories as part of his bid to jump-start the economy after the damage wrought by Covid-19.
The Chancellor is understood to be studying plans to give firms a full tax break on capital investment, such as technology, machinery and industrial premises, allowing them to immediately deduct the costs from their bills.
Im not trying to pick an argument - I’ve spent plenty of time researching ODX, reading RNS’ and broker notes etc.
I’m just expressing that the potential for demand could create a business case for a large increase in capacity. I appreciate ODX have some room to grown into, but was thing beyond that.
I’m not sure it was a particularly controversial or ignorant post - happy to be corrected.
Not sure what you are implying BigMac - have done plenty of research. Just spit balling here.
I assume that they Iicense the antigen tests from Mologic - would guess there is not a cap on the volume they can produce? It is surely in Mologic’s interest that ODX make as many as possible
In what sense?
Folks,
Just read an article where a WHO source suggested that production capacity in the UK would not meet a fraction of the required capacity for the UK alone.
I really struggle to believe the ODX and it’s backers are not seriously considering increasing production capacity by many multiples given the huge and unprecedented opportunity that we are looking at here.
Given the UK is medium sized country the global demand for these tests will be profound - it would honestly not be a stretch to imagine this share price ending up at many many multiples from where we are now.
In the spirit of challenging confirmation bias I wondered what everyone else thought about the scale of the opportunity and the timing of a scale up.
Seems to me this is an almost once in a century business opportunity. A brand new product with essentially unlimited demand.
What am I missing?
Where has it all gone....
Couple of things I’ve spotted here:
Where it talks about the antigen LTF suppliers it states numerous at various stages)
It also talks about “prevalence testing” which sounds to me like antibody testing at 100k per day, that’s 3 million per month.
The antibody test is part financed by the UK Gov. one of the terms of supply agreement is that ODX have to fulfil government requirements first. It is currently clear if ODX would have the right to sell on any additional capacity to other parties.
This is all in the investor Q&A.
L&G could have myriad reasons for selling:
1. As market switches from risk on to risk off they may want to rebalance their portfolio (they’ve already made a handsome return)
2. They may see other opportunities elsewhere - whether they be equities or IPOs related to testing that they believe have a bigger growth potential
3. Their clients wanting to switch more of their holdings to cash (don’t forget L&G isn’t using proprietary funds)
4. The government CGT tax grab pushing investors to instruments that don’t attract CGT - for example government bonds
Do these numbers still hold true?
Saw someone on Twitter this morning claiming that upper end SOTP would give a SP of £2.
Will do my own analysis later but wondered what others thought ?
Was just about to say something similar.
Most of the research from these idiots is as shallow as a worms grave.
Mologic also have a lateral flow antigen test that is currently being trialled at Heathrow. I think there are multiple companies working on it but clearly the tech hasn’t yet been nailed.
Why do all of our trolls have a comedic grasp of English.
It was my hope as our profile increased so would the quality of trolling.
The most obvious (though) not only competition here in my opinion is from AVCT. Looking through their RNS list I can’t see that they have CE marked one either, though I could of course be wrong.
Happy to be corrected.
I didn’t realise the LFT antigen year had been CE marked, I thought that it was the antibody test that had been CE marked?
Any chance you could share where you’ve seen that?
This is the ten minute test that is being trialled at Heathrow and would also likely be the largest seller (potentially to UK government etc)
My only concern here is that it’s not ready for sale until December based on the Q&A - wonder if there is potential to bring this forward.
Wouldn’t want to lose market share to faster competitors.