These are some snippets taken from the AFR Article................
"In late March the pivot of ASX small-cap Cellmid into the fight against COVID-19 raised a few eyebrows given the loss-making company's core business is selling always reliable anti-ageing and hair-loss prevention products."
"Since then, Cellmid has raised a total of $6.3 million at 22¢ a share from investors to purchase COVID-19 antibody testing kits from Chinese manufacturer Wondfo. "
"The problem is the March 25 approval for the tests is still subject to a post-market review of their accuracy. The tests remain on a TGA list of devices under review, with the regulator contacting all test sponsors for further information to help verify the device's ability to detect antibodies to COVID-19 accurately."
"When the assessment is complete the TGA will announce any further regulatory action taken.This should be nothing to worry about for Cellmid and its investors. As long as its tests are accurate. After all, COVID-19 tests that don't work are worse than useless; they're downright dangerous."
"Slightly troublingly, Cellmid bought the tests off Wondfo. The same Chinese company The New York Times reports sold the UK government up to $US20 million ($31 million) worth of antibody tests that didn't work sufficiently accurately, according to a subsequent Oxford University study."
"Already, the UK government's desperate gamble on China's Wondfo has left it red-faced and ripped off. Not likely to happen to Cellmid, which claims it has already started selling its Wondfo tests. On Wednesday its shares slipped to 17¢, some 23 per cent below the cap raising price to suggest investors are getting a little testy themselves."
CDY Price at posting:
18.5¢ Sentiment: Sell Disclosure: Not Held
