Fundraising lays path to cash flow positivity

Creo Medical has conducted a placing, subscription, and open offer raising a total of £33.7mln gross. In February the company announced the issue of 13,136,800 new Ordinary shares through subscription, and 129,363,200 through a placing at £0.20/share. Fully realised, Creo raised a total of £28.5mln

Creo Medical - Around £30m raised in 48 hours to back growth plans

In a bid to strengthen its balance sheet and support development programmes, Creo has announced a £28.5m (£26.8m net proceeds) fund- raise through institutional investors by placing 142.5m new ordinary shares at 20p/share (a 28% discount to the 15 February closing price). The fund-raising, subject to shareholder approval (AGM expected on 8 March), was oversubscribed against the minimum target of £25m, indicating strong shareholder support. In addition, Creo has announced an open offer to shareho

Cenkos: Creo Medical Group Plc -- Clinical case publication

We believe clinical publications will be an important driver supporting the uptake and use of Creo Medical's Speedboat device. As such, we note the recent video-abstract published by the American Journal of Gastroenterology (AJG), authored by Creo associate Dr Zach Tsiamoulos. The video abstract describes a complex resection of a colon lesion measuring 12 x 7 cm in a 74-year old woman (https://pubmed.ncbi.nlm.nih.gov/36537782/). Significantly, the patient was discharged 24-hours after surgery wi

Cenkos: Creo Medical Group Plc -- Transforming cancer treatment

We believe Creo Medical's portfolio of products has the potential to transform cancer treatment, validated by early clinical outcomes. We forecast group revenues of c£100m by FY27E, with a significant contribution from Speedboat and associated products for upper and lower gastrointestinal (GI) procedures. Importantly, we include only c£9m of revenues from Kamaptive licensing, which we believe leaves significant upside given the scale and commercial reach of Intuitive, in particular. We believe t

Hybridan Small Cap Feast - 16 Feb 23

16 February 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objec

Creo Medical - Progressing on all fronts

2022 was an eventful year for Creo Medical, as it progressed on all fronts of its ‘Build, Buy and Partner’ strategy. The period was marked by the increasing traction of Speedboat Inject (its flagship electrosurgical device) and its proprietary CROMA technology platform. Enhanced levels of user, robotics deals with Intuitive and CMR, and multiple heads of terms agreements all suggest a potential inflection point for Creo. To factor in these developments and the improved visibility of the company’

Powering towards positive adjusted EBITDA

Creo Medical has issued a trading update showing increased licensing and core Creo revenues with steady Consumable sales. Creo, by steadily training more doctors to use its products, expects to see rapidly increasing sales of its dual-energy endoscopy tool: Speedboat. There are now 150 trained doct

Creo Medical - A rewarding FY22 for core technology arsenal

Creo Medical has announced its FY22 trading update and outlook for the year ahead. FY22 was a busy period marked by several commercial developments for Creo, including increased adoption of its Speedboat Inject device, new robotic deals with Intuitive and CMR Surgical, and multiple heads of terms agreements signed. Group revenue increased 7% y-o-y to c £27m and this growth was fully attributed to the core portfolio, which recorded an 8x increase in revenue over FY21 (£2.3m vs £0.3m in FY21). Loo

Cenkos: Creo Medical Group Plc -- Accelerating momentum

Creo Medical has provided a trading update for the 12-months to December 2022, noting revenues and EBITDA in-line with market expectations. Growth was delivered from core Creo products and technology revenues. Cash at year-end was c£13m with the company considering a number of financing options. Trained device user numbers continue to grow providing the foundation for future device revenue growth while first revenues have been recognised from Kamaptive licenses. Speedboat Slim was launched at th

Cenkos: Creo Medical Group Plc - Delivering the strategy

We believe Creo Medical is at a significant commercial inflection point based upon increased adoption of its core device portfolio and validation of its Kamaptive technology through two announced licensing agreements. We expect these achievements to become increasingly evident in the company's financial reports providing quantitative support to our investment thesis. With this report we have extended our financial forecasts to FY27E, providing a view on the revenue development to c£100m and the

Creo powers robotic innovation

Creo Medical Group PLC develops and sells surgical devices for minimally invasive endoscopic surgery (flexible tubes mostly used in bowel procedures). In recent developments, Creo's devices and technologies are also increasingly being licensed to robotic surgery companies. These use rigid (laparosc

Creo Medical - Second robotics deal signed

Creo Medical has announced the signing of a non-exclusive licence and royalty agreement with a global surgical robotics company, CMR Surgical, providing further momentum to an already busy FY22. Under the terms of the agreement, CMR will be permitted to integrate certain features of Creo’s Kamaptive technology into its Versius surgical robotic system, a next-generation laparoscopic surgery robot. The details of the licence and royalty agreement remain undisclosed, but the deal represents another

Cenkos: Creo Medical Group Plc -- Second robotic agreement

Creo Medical has announced a second robotics agreement for its Kampative technology, this time with CMR Surgical for integration into its Versius Surgical Robotic System. This agreement follows the announcement in May 2022 of an agreement with Intuitive Medical. The CMR agreement will include license terms and commercial royalties though these will not be disclosed. We see this agreement, with a second major surgical robot company, as further industry validation of Creo's Kamaptive technology. W

Creo Medical - Building momentum in 2022

Creo Medical’s H122 results highlighted its progress in developing and commercialising its minimally invasive electrosurgical devices. Creo’s core asset, Speedboat Inject, continued to gain traction in H122, supported by an initial licensing payment from Intuitive Surgical (signed in May 2022) and complemented by the mature European consumables business, which remains a stable revenue stream. We see upside potential from the multi-year collaboration with Intuitive Surgical but await further deta

US sales boost margins

Creo Medical Group PLC develops and sells surgical devices for minimally invasive endoscopic surgery. These devices are used mainly to remove suspected early-stage bowel cancers including a recent surgical removal of a rare, complex gastrointestinal tumour. The devices are also now being used for p

Clean exit from ADL Health

EKF has announced a clean solution has been found for the non-core Laboratory Testing business ADL Health, selling the business back to one of its management team. Having pared back our estimates for this division in February, we expect no further material impact on earnings from this move. Strategically, we view it as positive, removing a distraction and further re-focussing activities back towards the core established Point-of-Care & Central Labs business and the growing new Life Sciences acti

SHORE CAPITAL - Destiny Pharma plc+ (DEST, House Stock at 30p)

Hybridan Small Cap Feast - 06 Mar 23

6 March 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objective

FY22 in line – focus on core increasing

FY22 results are in line with revised estimates. Management continues to intensify its focus on the growing, profitable and cash generative Point-of-Care and Life Sciences activities, where confidence in the latter opportunity is increasing. We make some modest changes to our forecasts to reflect further streamlining post-period end and point to the strong growth outlook from FY24 onwards. We believe this is being overly discounted by the market and view the shares as being in deep value territo

LIBERUM: Futura Medical* - Eroxon live in EU, FDA decision now Q2

Hybridan Small Cap Feast - 23 Mar 23

23 March 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv

Positive momentum persists

2022 was a pivotal year for NIOX as it moved firmly into sustainable profitability and cash generation. The foundations for a scalable platform are now well-established and the group enters 2023 with strong momentum (revenues in the first two months of the year were +19%). Having upgraded our forecasts following the trading update in January, we push through further EBITDA upgrades on improved margin assumptions. NIOX is a rare asset and fully deserves a premium rating. We stay at Buy, with an i

Tissue Regenix - FY 2022 – a pivotal year to a sustainably profitable business

Tissue Regenix reported full-year results to 31 December in line with its January trading update that indicated it had reached EBITDA profitability in Q4. What was undisclosed then was that it included a $0.45m provision, without which it would have generated an adjusted EBITDA of c.$0.4m in H2, illustrating the positive underlying progression to a profitable and sustainable growth company. The outlook remains positive – new products, new geographies and additional distributors/strategic partner

Morning Note – 27 March 2023

Hybridan Small Cap Feast - 21 Mar 23

21 March 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv

Hybridan Small Cap Feast - 24 Mar 23

24 March 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv

Morning Note – 21 March 2023

SHORE CAPITAL - Warpaint London+ (W7L, House Stock at 198p)

Destiny Pharma - Positive Phase II data with XF-73 published in medical journal

Destiny Pharma announced the publication of Phase II data with anti-bacterial drug XF-73 nasal gel in the peer-reviewed medical journal, Infection Control & Hospital Epidemiology. The data showed that XF-73 treatment in an 83-patient study resulted in a >99% reduction in nasal Staphylococcus aureus burden (after three applications of nasal gel 24 hours prior to surgery) measured 1 hour prior to cardiac surgery, which was the primary end-point of the study. The data are consistent with previous s

Hybridan Small Cap Feast - 14 Mar 23

14 March 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv