Or we could become a takeover target for the likes of Quidel, Abbott etc. Hoping this is not the case and they can build an Australian competitor to take on the big boys at their own game, but there has been quiet a lot of M&A activity in this and the battery space over the last decade so wouldn't surprise at all if it eventuated. I know I wouldn't be voting to sell unless the decimal point moved dramatically, the longterm potential is just to big to ignore and here is why.
Have a quick look over the sophia platform offered by Quidel and you can start to get a feel for how this will grow from a single covid nasal test to many other tests on the same platform. Sofia | Quidel The Sophia platform currently has 3 different style readers available and tests available for the following conditions- Lyme Covid Flu A and B HCG Legionella Vitamin D RSV Strep
From my understanding it has been out in the market for around 8 years so they have been adding around 1 test to the platform per year since launch. If Anteo can get a Covid nasal, Covid saliva, Covid fluA /flu B multiplex and a sepsis test out there within 24 months they are half way to catching the big boys at their own game and on a shoestring budget with minimal staff in a much shorter time frame. Anyone that thinks they wont target the other tests on the list along with troponin may be in for a surprise. I am sure vitamin D will have already been explored in the DIasource debacle as it was one of their key tests, if anything that may end up being the only thing good to come from it. We also know the team have had plenty of time playing with Troponin over the years so would expect this is also on the agenda.
Quidel have around 1300 staff along with $1.86B in revenue. I think the delay in approvals should be put in perspective of what the team at Anteo have achieved in the last 18months. They have gained approval to be a device manufacturer, released a reader based platform tech, a totally new technology for testing incorporating europium with anteobind and have already received CE mark for their first and awaiting results for the second. Along with this they have begun assisting vaccine manufacturers, had a customer gain a massive backing from the US government using their tech, and progressed battery technologies with mind blowing results and being included in the aus govs FBICRC. All this with less then 30 staff and a budget of several million....This is not going to happen overnight but imagine what they could do with 1300 staff and $1.86B in revenue..............hold long enough and you might just find out.
ADO Price at posting:
24.3¢ Sentiment: Buy Disclosure: Held
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