Ahh… the old India chestnut, or should I say Bharat...

Ahh… the old India chestnut, or should I say Bharat Chestnut..

Lets look at things from the helicopter, not from the trenches of the share price..

Firstly, the India experiment isn’t particularly expensive. Certainly not in the scheme of things and I certainly expect India to be at breakeven or profitable within a couple of years. So, the capital invested in the India experiment for a company whose turnover aspirations is for the billions, not the millions is rats and mice; not elephants.

The argument that the country is too poor to ever be lucrative is a little short sighted. I can remember not too long-ago people talking about how almost no one in China had more than a bowl of rice to their name. I’ve worked (and studied) in China many times over many years. Decades in fact; and can tell you that they have a very large and growing affluent middle class and while India is behind, it’s not too different.

India currently has a large (in pure head count terms) and growing middle class, for whom attaining urgent surgical support is available. So that’s in many ways just another market regardless.

What Polynovo is trying to achieve is to prove out a model where the less affluent can also have access to life saving technologies. If it succeeds in doing this (as opposed to just having another country making a buck), then it will have doubled the size of the TAM but with no competitors. A massive global demographic segment all to ourselves.

For the price, in my opinion, strategically it is a terrific play.

Finally, let’s not lose sight of the good we are seeking to do with this play. Imagine the loss, suffering and heart ache we can relieve. Imagine it were our families without access.

Fes