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Expect a tree shake from MM's to flush out weak holders. They're short of stock. DON'T SELL THEM YOURS!!
News hasn't totally filtered round yet. Wait till the herd arrives. This will seriously take off.
Could easily do 200% today. MIRI did 400% on news of link up with M'soft.
GLA
There are two key rules when investing in smallcaps. Firstly 'buy when there’s blood on the streets', & secondly ‘skate to where the puck is heading’.
Both of these apply to expert immunodiagnostics firm Verici Dx (Mrkcap £10m), who today announced a potentially break-through global licensing partnership with healthcare giant Thermo Fisher Scientific (Mrkcap $177bn) to exclusively develop an assay for pre-transplant kidney testing.
Here house broker Singer Capital Markets reckons the deal refers to Clarava. #VRCI’s 1st-in-class, blood test that allows doctors to identify those patients (pre graft) most likely to require increased monitoring - including adjustments in the type, dose & duration of immunosuppressants. Especially important when handling deceased donor parts which provide >60% of all organs.
Elsewhere the agreement also grants Thermo Fisher the sole right (but not obligation) to manufacture, distribute & sell the prognostic worldwide. Alongside providing it with access to a portion of #VRCI’s proprietary urine samples – further highlighting the value stored within its treasure trove of research assets.
In return Verici Dx will receive an upfront fee, augmented by staged payments dependent on operational deliverables (eg tech transfer & publications). Which in aggregate (assuming things go to plan) should equate to c.$5m over the next year with further instalments & ongoing royalties thereafter.
So what does this mean?
Well to me, the agreement not only represents another major endorsement of Verici Dx’s top notch science by an industry behemoth. But also the anticipated $5m should extend #VRCI’s cash run-way until at least the end of 2024 (source Singer Capital Markets), reduce costs and provide the Board with the option of perhaps moving deeper into this type of science-rich, capital-lite licensing model.
Which if adopted, would leverage the sales forces & supply chains of similar 3rd parties. Whilst equally enabling #VRCI to focus entirely on its unique IPR to drive better patient outcomes & material shareholder value.
In fact, this hypothetical arrangement would not be too dis-similar to Bioventix’s already successful licensing model, that is used to commercialise its monoclonal antibodies across the diagnostic sector.
CEO Sara Barrington commenting: “We are incredibly proud of our advancements in transforming potential outcomes for kidney transplant patients. By collaborating with Thermo Fisher Scientific, we believe we can accelerate the development of our technology, helping ensure that it reaches those who need it the most.”
Finally wrt the financials, Singer Capital Markets have replaced the revenues previously anticipated from Clarava with the above licensing fees.
As such FY23 turnover is now forecast to come in at $0.3m, climbing to $8.6m in 2024 (vs $4.9m B4) & generating an adjusted EBITDA of $0.1m, while ending Dec'23 with net cash of $0.1m. Plus they have a BUY
Very illiquid share so SP movements are very volatile!
Strap in LOL.
GL.
Great news! Hopefully we can finally start to head north with the support of a few more positive RNS which are due before year end.
Were fully funded until mid 2024 before this JV.
Thermo Fisher are huge!
Start of the revenue streams.
No placings ahoy!
GL.
Placing at 35 pence per share last year. Multibagger!
This dropped from 72p in November 2021, marking a massive turnaround now. An easy 25p valuation is achievable after today's news.
What's the target price here after the mega RNS this morning?
Wow Thermo Fisher revenue in 2021 was over $39 billion.!
What a partner and vote of confidence!
GL.
This has to be proof of the business model revenue streams.
Rerate in progress!
GL.
Nice Jv bringing in $5m with further benefits.
For me this only has to be the start of the money rollercoaster that VRCI are going to create.
Literally they are taking the urine!
'In addition, Verici Dx has granted Thermo Fisher a non-exclusive license for access to a portion of the Company's urine samples, demonstrating the additional value in the Company's data and sample assets for research.'
They were already fully funded until mid 2024 so no placings ahoy!
GL.
Great bit of publicity will help with future sales and hopefully marks the start of regular news re commercialisation!
Sara Barrington, CEO of Verici Dx, said: "ASN Kidney Week is an important platform for Verici Dx to raise awareness of its products including ClaravaTM, being the largest international gathering attended by kidney health professionals and featuring the latest advances in treatment, research and cutting edge technology in the field of nephrology."
GL.
50-50 buys to sells down 10% mmakers kin dae whit rah fick they want oan AIM sick ay it.
Seems some were tipped a nod before this drop. Spiked it twice and went nt to sell for pi’s both times before dropping then tanking on bad news.
Questioning how they are going to afford and maintain sales force growth to boost products and revenues.
Nice delayed 150k buy nulls the delayed sell.
Buys way out numbering sells yet way down.
May get more if one of my others perform.
GL.
Why question funding when they have reiterated all covered until mid 2024?
Revenues should accelerate from here and a JV can't be ruled out imho.
GL.
Clive they did the same on the last to spikes. Raised it then shut sellers out with NT to sell. Low liquidity.
More updates to come. $1.8m staff costs with only 2 in the sales team leaves questions re affordability for expansion with current revenue without further funding.
Agree with the below, the fun was always going to kick off at the end of this year and into 2025. The foundations have been set and we won't be down here in 6 months time. I've topped up myself.
Added some more ! More buys than sells?
Knicked from advfn Paul Hill PMH Capital ltd :
'Unlike the consumer world, commercialising break-through medical science can often be frustratingly slow, even for major innovations. Why?
Well simplistically, there's a natural inertia built into the healthcare system. Here doctors are inherently cautious and need time to familiarise themselves with & fully deploy the latest technology. Equally, US insurers & public bodies (Medicare & Medicaid) must also agree to pick up the costs. That is (hopefully) before the hockey-stick growth begins & the product ultimately becomes the industry's de facto standard.
Unfortunately however both of these factors have impacted the initial pace of adoption of Verici Dx’s best-of-breed kidney transplant diagnostic Tutivia. Consequently at today’s interims, management reduced their near term revenue projections, but reiterated that #VRCI’s mid 2024 cash runway should be unaffected thanks to higher research revenues.
Moreover, Tutivia test volumes are now accelerating, albeit from low levels, as more transplant centres come on stream. While, the company also expects to receive full Medicare reimbursement (re under Local Cover Determination) by Q1’24, which should similarly boost turnover.
On the R&D front, significant progress is being made here as well. With its unique pre-transplant diagnostic Clarava on track for commercial launch in Q4'23. Elsewhere, initial sales of its 3rd test Protega are slated for 2025, which aims to predict the risk of kidney fibrosis and long-term graft failure.
CEO Sara Barrington commenting: "The clinician response to our 1st product, Tutivia, following its commercial launch in Jan’23 clearly demonstrates how much they value the key benefits and recognise the strong differentiating features. We are also excited to have announced a 2nd successful product, Clarava following the recently completed clinical validation study showing excellent results. We also completed enrolment for the validation study on our 3rd product, Protega - which completes the end-to-end testing for the portfolio as we look ahead."
"Although the timing effects on early adoption are frustrating, we have been able to make savings in other areas and are focused on research collaborations to help build a solid platform for future growth. At the same time, we are continuing to deliver on our strategy of transforming kidney transplant patient outcomes, as we move further into commercialisation”.
So what does all this mean?
Well top level, given Tutivia's “outstanding clinician feedback” - I’m highly confident Verici Dx's suite of cutting edge kidney transplant diagnostics will eventually become a major success. Likewise providing the Board with several attractive options (both internal & external) to finance its growth trajectory for years ahead.'
GL.
The end of year is the main target, still on track with cash flow into mid next year. Looking forward to the next few months where she should hear some solid updates on product launch and price range.
Funny how they walk it down on manipulated sells and then its NT to buy even 500 quids worth!
GL.