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Http://www.culture-nutrition.com/en/2018/10/08/infography-probiotics-market/ Opti are now in a strong position with clinical studies, good IP protection, growing brand recognition for LP-LDL. Remember Chr. Hansen Acquires Valio's LGG for €73 Million on €9 Million Revenue. Take your positions while the shares are cheap!
OptiBiotix CEO Stephen O'Hara on recent deals and director share purchase Https://www.proactiveinvestors.co.uk/companies/amp/media_files/10847
SOH comment, people need to wake up at the deals we are doing: “If you want to help guide investors we should give an indication of the maths form the early deals. Just as an example if they look at the number of deals (24) to date, discount for attrition or distributors not delivering (lets take 33% don’t work out I.e. 8) to give 16 deals and then multiply by a range per deal of £250K, £500k, to £750K which gives you 16x £250k = £4m; 16 x £500k = £8m; 16 x £750k =£12m sales. And that’s just with existing deals. This won’t be immediate and will build throughout H2 2018 and 2019 but this gives you some indication of potential revenues from existing deals alone. We would hope to add more deals over the forthcoming months and years with a couple of large deals to shift the average, and hopefully have a few a few nice surprises which create new opportunities and deal flow. Investors should also note the trend is typically towards larger deals with Lp-LDL, SlimBiome should follow a similar path. We also have the online platform which is currently UK specific but will be developed into other markets like the US and Asia, and of course SBTX. Investors should be reminded we only launched products just over a year ago (May 2107: Europe, Oct 2017: USA) and have concluded 20+ deals since which is a good indication of interest and future potential. However, we are just at the start of building the commercial opportunity and with continued strong deal flow should have an exciting future.”
SOH on the article: “We would generally agree with many of the sentiments in the article about multistrain products for general health which is why we have targeted specific health conditions, identified a mechanism of action, and carried out extensive studies which show the strains survival in the gut, and of course its clinical effect in a human population with normal and elevate cholesterol levels. This reinforces our belief in the main differentiation features of our product and exactly the reason LP-LDL has attracted pharma interest. To be balanced the study conclusions from the Israeli research group should be treated with some caution as they are based on mice studies and the use of one multi-strain probiotic preparation tested in 15 healthy adults. The supplier of the multistrain, Subherb is a relatively unknown in the microbiome or probiotic field as is more known as a supplier of vitamins, minerals and capsules, and I can find no publication showing the science behind the product. So, the conclusions from this small study on this product may not be generally applicable to other multi strain products or probiotics in general.”
Opti store now online: Https://optibiotix.online
Chat with SOH today: “The online store is now ready for launch and we plan to go live at the start of September. This creates another channel to market for our products with the potential to become a division in its own right. The online store creates a shop window for our technologies and products and will sell our own brand GoFigure products, the wider range of SlimBiome products, and LPLDL® formulations, creating an additional revenue stream and the opportunity for direct market feedback from its customers. We expect products to be added to the store throughout the year according to seasonality and further partnership deals.”
I asked SOH about the appointment today and how Sean has managed big companies. “You have to evolve the board and executive team according to the changing needs of the company. Sean will bring experience of building a £100m company to over a £bn. There’s a long way to go but we have made a start.”
Roger - there is big money going into Opti. As seen by the recent TR1 a few weeks ago, before this article came out. So the rise is nothing to do with this. People now seeing the potential after 19 commercial deals signed. Let’s see what happens. The big players now want in!
Provisional Ethics approval for SkinBiotherapeutics human study “This is good news for OptiBiotix shareholders as the SBTX mkt cap has increased to £16m and we own 42% (£6.7m). As we get nearer to and complete the human studies there is potential for even greater uplift in value of SBTX.”
“It reflects a number of shareholders, including institutions, recognising that we are building a substantive deal flow with 19 deals in the last 16 months, including 9 deals in last 4 months. More importantly these are of increasing size with larger companies with a number including with upfronts, and min, guarantees with a shift throughout 2018 from manufacturers, through formulators, to distributors. They see this as a sign of the start of a growing revenue stream spread across multiple platforms and channels.”
Continued, on when this was planned as I saw a post below wondering the same: “It was also a surprise to me as up to a week or so go I had no intention of a raise. The Akums deal changed everything and created a number of new opportunities which could bring us substantial returns and impact on the market cap”
Hi all, I had an exchange with SOH today on the placing: We have sufficient funds in the bank for at least the next year and there is no concerns at all over cash. On page 18 of the annual report the auditors have to give an opinion of the company as an ongoing concern over the next 12 months based on looking at the companies expenses and income. They have expressed no concerns. The RNS captures the opportunity, specifically the pharma opportunity, where we have the chance to close out a 7 figure deal, provided we can manufacture LP-LDL to pharma standard. This doesn’t require any new equipment but a dedicated line for production with specific process controls which will cost us up to £500K with Sacco. The deal wouldn’t be there if we waited. There is also a lot of activity with SweetBiotix. In the next few months it should be clear to investors the scale of the opportunity. I had the same questions when I took £1m in 2016 but turned that into SBTX which now has a market cap of £21m, and we own 42%.. We have been careful with fund raises and have only taken £5.8m in total which we have turned into a £55m market cap. This includes the ~£700K spent on SBTX. This subscription was oversubscribed and we had a lot of interest from II’s who can see the opportunity. The fact we could have taken a lot more but remained prudent so we focused funds on value enhancement should give investors some comfort.
You are posting things and you don’t have a clue as you haven’t done research and I have pointed them out. The well researched expected the results to be like this. The commercialisation started in MAY! People expect too much. You will see a big uplift in revenues which is why we will breakeven this year !