Agree completely, and per my warning, it was a major concern with the over hype on the potential announcement, and previously warned it was never really likely to be an imminent huge cash result, rather a substantial further step forward to obtaining future huge results, which is exactly what the announcement is.
Unfortunately that kind of hype generally only leads to disappointment. As previously posted, substantially more time, patience and hard work required to realize the goals and evident from the proceeding announcement regarding the extraordinary meeting, clearly showing a need to get shareholder approval for issued and potentially issued shares, to allow the company to if necessary issue further shares including for the AIM listing etc.
Re HDA Licensing : Read it slowly and piece it together because :
Product : (Deltaran has been approved in Russia to treat brain damage, dementia and Alzheimer?s disease)
Russia?s huge population huge
Cice Group, large company
The Licensee's lead scientist and CEO, Dr Boris Voitenkov advised: "It is our intention to have approvals for the use of the HDA device for Deltaran delivery in Russia within 12 months as the drug is already approved here and we can aim at achieving annual sales of around $100 million.
And the joint venture (STI/ZOCAP) : The joint venture is to receive a total net royalty of 26% (post all fees and commissions) of all gross product sales within the licensed territory(s) accounted quarterly), Projected expected annual sales within 12 months of around $100 million.
And
Our next immediate target in association with our Berlin based partners will be to gain approval in the EU within an 18 month target time frame where we have assessed the market at approximately 2.5 billion Euros per annum."
So subject only to the final agreement : Since When Wasn?t This Huge ?
And
How many more to come in other countries and /or the western world ?
Sorry, but this is the absolutely huge future of STI, if shareholders approve the issues and STI retains sufficient funds to proceed.
Also consider this ? Per the companies own release ages ago (2010), after the first development of the HDA prototype, the company would initially produce about 200 units for supply and testing by other (large) pharmas to allow them evaluate and optimize it for use with ?their drug? quantities, along with verifying the substantial increase in effectiveness using less of ?:their drug? and hence extend or re-start a patent extension for the drug in the HAD device etc. This was based on the number of their drugs coming off patent over the next 5 years. How long was all this going to take before a big pharma paid XXXX for it. And this presumably still will happen?
BUT I see this a shorter term cash cow with Russia, with huge potential for a huge potential regular income ?
Then sometimes there?s perspectives, it?s a bit worrying that to some, there?s a difference in sales made in Russia. If your only an investor, does it matter where the cash comes from in legitimate sales ?
Re Telemedcare : Excellent product, huge potential future potential money maker, but still slow, costly, often requiring in country experimentation before progression, to then further develop, maybe compete with other forms of tele health products, and then market into (a time and costly exercise in itself), and actually supply to any one country. And, whilst probably most will happen, then still needs very large numbers of orders, inturn promoting huge expansion in production along with huge increase in costs to produce and supply, to then in turn make the huge profits long term.
(My view only) is it would be good to retain at least some interest and therefore royalty payments or user pays payments etc., even through a further JV, especially through the user pays system proposed, (more cash overall but likely long term but regular income) :
However, having posted before on STI : too many irons in the fire, all too expensive and no money etc ., I have no problem with them spinning off or selling this for fair value, to fund other projects. It was always realistic, short of Santa Clause joining the board, that substantial progress could not be made on all these products in short time frame/near future, without something being sold off. Regardless either way, from an investors point of view they really only need to know one thing and that is :
Telemedcare is worth serious cash, just worth more one way than the other long term. You want STI to have cash returns, well it will come one way or the other.
Re Pharma Division (Canadian Factory) : Operating with further contracts to come, eagerly await further news of these as and when they occur and never loose sight of the potential for it produce STI?s own products, a very real possibility in the future once there are enough of them ? Kidney v ital release, release next week eagerly awaited, should contribute significantly to Pharmacy Sales along with 3M and other STI products.
Dual listing on AIM can only be beneficial re increasing shareholder numbers and confidence as well as SP as STI progresses.
R-Salbutamol, animal products yet to come.
Immunoxel, further testing and marketing to come
Some as yet unknown further ? 24 products joint ventured STI/ZOCAP
Potential just get?s bigger.
Patience, may be slow but it is happening.
STI Price at posting:
0.4¢ Sentiment: Buy Disclosure: Held