Edison publishes research update on SYGNIS AG
- New enzyme technology allows direct sales in 2015
- Brand new amplification technology
- Valuation: Strong growth fuelled by further funding
Madrid, Spain and Heidelberg, Germany, November 17th, 2014 – Edison Investment Research Limited, has published a research update on the DNA amplification and sequencing tools company SYGNIS AG (Frankfurt: LIO1; ISIN: DE000A1RFM03; Prime Standard segment of the German Stock Exchange).
The report, True value through TruePrime™, emphasizes SYGNIS’ change of its product and commercialization strategy as it allows SYGNIS to capture much more value of its technology portfolio and provides the Company with a higher independency as it is no longer reliant on a few big companies focused on their own priorities. In addition the report highlights the development of a new product line, based on a major enzyme, TthPrimPol, which directly “primes” DNA for amplification and which will allow SYGNIS to sell its superior TruePrime™ molecular biology kits direct from a new TruePrime™ website or through distributors to scientists from Q115. Kits might also be sold as OEM products alongside next-generation sequencing systems.
Edison exposes in its report the huge growth opportunities they are seeing for SYGNIS by targeting the growing genomic amplification market worth about $100 million. The molecular biology market is receptive to technical innovations since the scientific community is highly competitive and every single laboratory wants to achieve the best and most reliable results first.
Edison believes that the TruePrime™ line has the potential to get fast adoption if it shows the claimed advantages in routine use. Given a selling price for a kit between €500 – €800, Edison calculated that the Company needs to sell as less as about 9,500 kits to generate the €4.0 million needed for breakeven in 2016 which is just about 4.5% of the current market. This does still not reflect the long-term growth potential coming with adopting NGS as a routine application in diagnostics, personalized healthcare and drug development.
Press Release as PDF
For further information please contact:
Pilar de la Huerta, CEO/CFO