The capital raising was awful. I emailed Osteopore management mid last year asking what the hell they were doing in a rapidly deteriorating credit environment running the coffers so low. I got some crappy generic email back.
The fiduciary management by the Board has been awful. The share price has fallen for so long on expectations of a very obviously necessary raise, and then they finally did a crap one on the bottom of the market.
However, I think the importance of this licensing agreement very much over looked by the market, and lost in the capital raise news, as evidenced by the lack of comments herein.
This is a big deal. Accelerate Tech is the technology transfer arms of the Agency for Science, Technology and Research (A*STAR) – Singapore’s leading public sector R&D agency. Anyone with the slightest understanding of Singaporean economic growth and the political environment that drives that. Singapore maybe touted as a free market economy, but its very much quietly centrally driven. This involvement of the Singaporean public sector in Osteopore should not be under-estimated.
Whilst idiotic digital media reports Singapore as a democratic, free trade nation, the People’s Action Party (PAP), now in its 13th consecutive general election rule since Singapore became an 'independent' country, utterly, but very quietly dominates the strategic direction of Singapore's economy and society. When you have the government behind you in Singapore, you are virtually assured of domestic success.
I would be very surprised if some very rapid improvement of OSX's business prospects in SE Asia did not soon emerge from this in parallel, if not directly:
"Scope of Licence (subject to execution of licence agreements) The first non-binding term sheet provides the scope and field of use for the licence to be granted by Accelerate to Osteopore, including for HS3 use in CMF, dental and orthopaedic long bone indications, medical implants which are expected to combine bone-enhancing HS3 with polycaprolactone (PCL) based scaffolds.
The second non-binding term sheet provides the scope and field of use for the licence to be granted by Accelerate to Osteopore, including for HS6, 7, 8, 9, 16 for research and clinical use.
The formal licence agreements are expected to be executed in 3-6 months’ time. The nonbinding term sheets provide for a grant of an exclusive, royalty bearing, non-transferable, revocable for cause licence to use the technology. The term of the licence is expected to be for the duration of the patents.
Osteopore does not anticipate these licence agreements to have an immediate or short-term material impact on its operating results. The term sheets contain termination provisions standard for agreements of this nature.
The significance of this announcement is that the term sheet with Accelerate, the technology transfer arm of A*STAR, a leading Singaporean public sector R&D agency, further enhances the bone regeneration capabilities of Osteopore, and progressing with a first-in-human clinical trial with the application of a Heparan Sulphate molecule."
OSX Price at posting:
7.6¢ Sentiment: Buy Disclosure: Held
