BALTIMORE, MD--(Marketwired - Sep 26, 2013) - Goldman Small Cap Research, a stock market research firm focused on the small cap and microcap sectors, notes that less than a month removed from acquiring rights to a cutting edge nano and micro particle entrapment technology, Plandaí Biotechnology, Inc. (
The Company has sold an exclusive license to Oasix, Inc., a Canadian company that develops and markets skin care products and also operates the Oasis Skin Institute in Alberta, Canada. The terms of the license agreement includes an initial payment of $500,000, of which half has already been paid to Plandaí. The balance is due in the first half of 2014 based on completion of the Company's clinical trials currently underway at North-West University.
According to the agreement, Oasix will have the right to develop and market cosmetic products using Phytofare™ Pheroid™ Topical Catechin Complex ("ph2™"), a new topical cream developed using the nano-entrapment technology recently licensed by Plandaí. The 5-year license is limited to ph2™ Topical Catechin Complex for cosmetic uses in Canada, the U.S., South Africa and Nigeria. Oasix is also required to purchase annual minimum quantities of ph2™ Topical Catechin Complex from Plandaí, although the minimum quantity purchases have yet to been released to the public by the Company.
The Pheroid™ technology, developed by North-West University in Potchefstroom, South Africa, allows Phytofare™ particles to be entrapped and produced into a topical cream that should significantly enhance tissue absorption. Oasix initially plans to market the ph2™ Topical Catechin Complex as an anti-aging and sun-protectant cosmetic product.
This license agreement gives Plandaí a firm commitment for product sales as soon as the final testing is completed and production facilities come online in early 2014. Investors should view this deal as a tremendous validation of the product's efficacy, as evidenced by the initial payment minimum purchase requirement clause as part of the license terms. Moreover, management now has revenue visibility for the next 5 years for this line, which should serve as a major boost to the Company's valuation. Plus, it is now likely that additional licenses for Europe and other regions will be secured within the next several months as well. Clearly, this major event means that these shares are ripe for a re-valuation.
Goldman Small Cap Research sponsored articles, reports, and updates on Plandai as well as associated disclaimers and disclosures can be accessed or downloaded in their entirety by visiting www.goldmanresearch.com.
About Goldman Small Cap Research: Led by former Piper Jaffray analyst and mutual fund manager Rob Goldman, Goldman Small Cap Research produces sponsored and non-sponsored small cap and micro cap stock research reports, articles, daily stock market blogs, and popular investment newsletters. Goldman Small Cap Research is not in any way affiliated with Goldman Sachs & Co.
A Goldman Small Cap Research report, update, newsletter, or article is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed. Please read all associated full disclosures, disclaimers, and analyst background on our website before investing. Neither Goldman Small Cap Research nor its parent is a registered investment adviser or broker-dealer with FINRA or any other agency. To download our research, view our disclosures, or for more information, visit www.goldmanresearch.com.
About Plandai Biotechnology, Inc. (
- Investment & Company Information