Ferret's Stock to Watch: CHEMEQ LIMITED
08:18, Wednesday, 6 April 2005
Sydney - Wednesday - April 6: (RWE Aust Business News)
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BIOTECH BACK ON TRACK TO PROTECT PIGS AND POULTRY
OVERVIEW
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Pharmaceutical company Chemeq Ltd (CMQ) is an emerging veterinary
drug producer, which has developed a unique product called Chemeq
polymeric antimicrobial for the prevention and control of intestinal
bacterial diseases in foodstock animals, including pigs and poultry.
The company yesterday announced it has secured patent protection
for its product in the Peoples Republic of China to the year 2020.
The patent gives protection to Chemeq with regard to the
manufacture and marketing of its product in what is one of the world's
biggest national markets.
Chemeq executive chairman Dr Graham Melrose said the Chinese
market had emerged as a prospective medium term target for the company.
"Although Chinese production of pigs is not always concentrated,
China is the world's biggest pork producer," said Dr Melrose.
"We are delighted to have added this major patent to our
substantial portfolio of granted patents in China and some 80 other
countries around the world.
"This patent has already been granted in numerous countries
including the US, Japan, Russia, Singapore, South Africa, New Zealand and
Australia," Dr Melrose added.
Chemeq has also been granted patents in countries within Europe
and Asia.
It has more than 175 patents pending which, if granted, will take
potential manufacturing and marketing monopolies beyond the year 2020.
Chemeq's key patents are comprehensive and cover molecules,
syntheses, compositions and uses.
All intellectual property is 100 per cent owned by Chemeq.
Other potential applications of Chemeq's unique platform
technology, at different stages of development, include: select cancer
treatments; preservative for dermatological use; sunscreen; and the
treatment of human gastrointestinal diseases.
SHARE PRICE MOVEMENTS
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Shares of Chemeq rose 7c to $1.43 yesterday. Rolling high for the
year has been $5.97 and low 98c.
It now appears the recent upheaval in the Chemeq company
structure is finally settling down after the appointment yesterday of
Brian Mangano as chief executive officer and company secretary.
He is an accountant by profession and has been a senior corporate
executive with 18 years experience in engineering, technology and the
investment sectors.
Gleaning information from the company's day-to-day operating
activities is difficult due to the fact that it is among the few listed
companies that lock up their PDFs.
Much of its web site is also locked up.
Earlier this year Chemeq shares tumbled and the company was asked
to please explain the reasons to the ASX.
It was also queried by ASIC on company disclosures.
BACKGROUND
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Chemeq Ltd was founded by the current chairman and chief
executive officer, Dr Graham Melrose, in 1989, Chemeq began as a research
intensive, private company.
On August 25, 1999, Chemeq listed on the Australian Stock
Exchange, issuing 14 million ordinary shares at 25c per share, raising
$3.5 million.
Chemeq has directed its focus around the research, development,
application, manufacture and commercialisation of polymeric
antimicrobials.
Currently, our extensively patented antimicrobial is the only
market-ready and efficacious drug in the world to directly deal with the
growing international animal healthcare problem presented by antibiotic
resistant bacteria or 'superbugs'.
In 2001 Chemeq undertook to design and construct a commercially
efficient, state-of-the-art pharmaceutical production facility at
Rockingham in Western Australia.
Chemeq achieved first production of its pharmaceutical product,
CHEMEQ polymeric antimicrobial, from its completed manufacturing facility
on August 9, 2004.
Chemeq claims to be poised to take advantage of worldwide demand
for a safe and effective replacement for the problematic use of
antibiotics as growth promotants in commercial animal production.
ENDS
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