For those of you looking forward to Pine Belt Marine's trial starting sometime in the next 6 months.
Hopefully sooner than later.
With all the news on US and Iran I came across this article about the size of the US Military.
Interesting reading.
(2) Pine Belt and Uniforms Alexium staff are currently working with Pine Belt and the military in the production trials for the Marine uniforms. The working relationship between the two companies is very efficient and productive. Pine belt are sufficiently confident of the success of the trials that they have commenced expansion of their production capacity to accommodate application of the Alexium product. Pine belt are now in a position where they will be doing all FR and insecticide applications for uniforms.
Following success with the Marines the Army would be the next service to become involved. It is not known to what extent the Army will take into consideration the Marine results in making their decision or require complete retrial of the product for their uniforms. Whilst the Marine contract would only require alteration of one sentence in the current uniform specifications to accommodate the Alexium FR the Army would be looking to a complete new specification with their uniforms.
from alhotcop9 https://hotcopper.com.au/threads/ann-agm-presentation.5038879/page-13?post_id=41131448#.XhW7tpqP6cw Regarding Pine Belt, they are actually investing in plant to integrate Alexium into their production process – so they are committed to the partnership / putting money on the table. The phasing out of Pyrethrum is not a problem. Pine Belt developed and own the rights to the replacement insecticide so their position will only strengthen. Combined with Alexium FR, Pine Belt will have the rights to the only insecticide and FR treatments for military uniforms – Bob held this up as demonstrating both Pine Belt’s technical innovation capabilities and also their commercial acumen. Alexium is in bed with the right player in this space.
Is anyone going to the General Meeting on Wednesday 22nd January?
If so looking forward to some honest positive feedback on company progress.
You never know Alexium might have the December quarterly report out at the General Meeting.
They could do the webinar/ quarterly presentation on the same day.
We probably deserve a decent update to confirm things are on track.
Not the same old stuff we keep hearing.
We have some new shareholders after the placement.
If the management can start to deliver some results then all those potential investors and institutions who would not touch us because of the debt may just start buying shares.
Also we have coming up the
2020 Winter Las Vegas Market
January 26 - 30, 2020
Alexium alluded to major product launches at this show for Alexicool
PCM in mattress foam is Alexium’s most recently-entered market. The first major launch of products featuring Alexicool in foam happened in July/August at the Summer Las Vegas Market and stock only began to hit stores this month. Assuming a major customer would be on 60 day terms, this may mean that revenue from this launch will only flow through beginning this quarter (my speculation). The company has said that a significant share of its expanded pipeline (the much discussed $45m pipeline) will feature in new product launches due at next January’s Las Vegas Market. I gain the impression that Alexicool in foam will be a major contributor. PCM in foam is estimated to be a US$35m addressable market and represents significantly higher revenue per mattress for Alexium than textiles alone.
The next bedding market opportunity for Alexium is Alexiflam NF in FR mattress foam socks. This initiative is independent of ICL and will be a key revenue earner for the company, imo. Detailed information on weight requirements provided by a major bedding company combined with updated market intelligence has led Alexium to estimate this as a $55m US market opportunity. Alexium’s NF in mattress sock solution is $6 cheaper per mattress than the incumbent fibreglass FR solution and also has safety advantages. According to Bob Brookins, even the ability to save one dollar per mattress holds sway with manufacturers.
So how far off is the NF in mattress sock launch? The presentation pencils in a launch prior to the end of this financial year. Personally, I would anticipate the company wanting to feature this product at the ISPA Expo in New Orleans next March (the international sleeping products industry trade show held every 2 years). Further enquiry suggests that it is “definitely possible” that launch may happen even earlier than that.
Also can someone please ask Rosheen for some more details about the letter she sent on the 11th Dec 2019.
About the brief business update .
Love to know the size and significance of the Alexicool Foam win ???.
I also want to take this opportunity to provide you with a brief business update as the management team have been extremely busy over the past couple of months: Alexicool® FM for PCM applications to foam
Earlier this year, we launched Alexicool® FM, and recently, we were asked to participate in a competitive procurement process for a new bedding line with a major mattress supplier. We are pleased to announce that we have been successful in the procurement process and we have been advised that sales are expected to begin in early 2020. Expanded consumer products with Alexicool® technology
We continue to work with our customers on the introduction of new product lines (including textile and foam applications for top of bed) using Alexicool® technology in early 2020. These new product lines will further support the strong organic growth profile of the business over the medium term and also demonstrates the strength of Alexium’s PCM value proposition to our customers.
Transition of Alexium’s FR NyCo Technology to Pine Belt Facility
We are pleased to report that the transition of Alexium’s FR NyCo technology to Pine Belt’s facility is progressing with production scale testing underway. Early results have been positive with the targeted launderability and flame retardancy standards met in the testing undertaken so far. The current focus of this effort is on further process refinement to enable the optimal product performance. Upon satisfactory completion of these application trials, the next phase is military trial and evaluation. Based on progress so far, this is expected to occur before the end of FY20. Multiple Channel Approach for Alexiflam® NF
Due to the size of the addressable markets, the Company has decided to pursue a multiple channel approach to maximize the market penetration of Alexiflam® NF, with the proposed ICL Distributor Agreement (currently being negotiated) as one of those channels. We are pleased with the negotiations with ICL to date and expect those discussions to continue into Q3 FY20. .
AJX Price at posting:
6.1¢ Sentiment: Buy Disclosure: Held
(20min delay)