Rua Life Sciences Share Discussion Threads

[parsons4] 12/7/2022 11:17

Yes just topped up again. There is huge value here, the only question is how long before they start to really motor and get FDA approval.

[spurious] 11/7/2022 13:52

Agree Bones that it would be unusual to have an investor presentation without having a few positives up your sleeve

I liked this quote below from results which may well offer some of that positivity.

"We have also entered into the final stages of negotiating a new manufacturing and supply contract with a global medical technology company which is intended to be finalised in the very near term."

I also would echo Early not Wrong highlighting the significance of the confirmation of "a relatively small clinical trial" being required

This would tend to rule out some of the wilder cost estimates of any trial.

SP

[bwm2] 11/7/2022 13:01

Bones
My sentiment also

[sicilian_kan] 11/7/2022 12:42

Equity Development note out:

[bones] 11/7/2022 10:47

I’m looking forward to next week’s presentation. They won’t have organised it simply to regurgitate the final results so we might learn a lot more about the vascular and heart valve progress.

[wageslave] 11/7/2022 10:47

That's a high cash burn even taking into consideration investment in plant.GBP 2,963,000 (2021: GBP6,294,000)

[bones] 11/7/2022 10:43

No one knows the current cash burn rate. It’s unlikely to be so high now. We know it up to 31/3/22 but that was after exceptional costs on plant, equipment and premises and constructing animal trials on the vascular devices.

That said, it is clearly the case that the clinical trial (albeit “small”) will need funding over the next two years. The market will need some guidance about this because, currently, the market is giving no value to the business prospects right now.

Very little in today’s release is new, including the need for funding. The price of the share has discounted those risks enormously already.

[wageslave] 11/7/2022 10:37

Will need a fund raise in the not too distant future at current cash burn rate.

[early not wrong] 11/7/2022 10:23

Forgot to highlight the 'relatively small clinical trial' required to support FDA application. The air of mistrust and disappointment needs to move to allow the future to be refactored into the price.

[bones] 11/7/2022 09:31

Now the results are official, it wouldn’t be a bad thing to see a slew of director purchases at this level (at near enough the 2018 open offer price of 30p!!). A lot cheaper than the price on the options some of them have got……

[sicilian_kan] 11/7/2022 09:20

Thanks bones and edited

Agree with your observations

[bones] 11/7/2022 09:13

The presentation is next Monday 18th.

Agree on the upsides here. Indeed how low can this be at £7M market cap?

That is little more than breakup value based on balance sheet NAV.

The biomaterials business alone, with a £500k annuity income can probably account for most of the value. Hardly anything being credited for the rock solid contract manufacturing side, even before attributing any value whatsoever to the real potential areas of vascular and heart valve.

Clearly all the market sees is a funding issue down the road and a feeble investor in Amati looking to sell at any loss on its investment.

It’s all down to sentiment.

[sicilian_kan] 11/7/2022 09:02

Also good to see confirmation that FDA discussions are expected to be finished next month.

The metrics here are in my view very worthy of investment:

£7.5m market cap
Revenues of £1.6m
Cash at 31 March of £2.9m.

They have two key interesting techs in four business units. One of which just needs a final confirmatory trial (to mirror the animal results in humans) that will be set out after the fda discussions next month. The other could transform the heart valve market and will surely have competitor interest if it works. Holders here may recall back in February Caroline Stratton said that one of the key players in heart valves was visiting them that day. We could hear more on this in the coming months. It is certainly worth of a question at next week's presentation and Q&A at 2pm:

[sicilian_kan] 11/7/2022 08:55

Early not wrong, I agree entirely.

"This new composite material is very thin, flexible, yet demonstrates tear resistance many times greater than a simple polymeric sheet whilst retaining the blood contacting properties of Elast-Eon. We believe this material coupled with our valve design has the potential to eliminate the patient compromise whilst avoiding the potential for sudden failure of a leaflet."

The patient compromise being:

"A patient faced with surgery for a diseased heart valve is also faced with a major decision regarding which type of valve to have. A mechanical valve will be very durable but has the disadvantages of noise (clicking) and the risks of thrombosis or bleeding if warfarin levels are not controlled. A biological valve is silent, avoids drug treatment but has a limited lifespan and as such risks the need for a further operation when older and the procedural risks increase."

[buywell3] 07/7/2022 09:13

hedgehog is a prat

always was and always will be

A spikey prat at that

But has difficulty putting his points across

[toffeeman] 07/7/2022 09:12

Feels like hope over experience!

[early not wrong] 07/7/2022 09:11

Results Monday. Let's hope there's some good nuggets to light this share price up.

[bones] 05/7/2022 12:06

Thanks ENW.

Link here:

[early not wrong] 05/7/2022 12:04

Results presentation 18th July so results must be that day or the previous week. Not long now for clarity.

[semper vigilans] 03/7/2022 11:34

Article in the Mail(? Pinch of salt) - concerning M.Chimaera and heart ops.
I presume Rua products would lessen this infection risk?

[bones] 24/6/2022 11:35

Hedgehog11, to quote the recent trading update:

”On a positive note, it was confirmed that RUA can still follow the 510(k) route to the US market, provided that supplementary clinical data are generated to support the Vascular Graft range. A clinical trial has now been designed to demonstrate the safety and efficacy of Elast-Eon as a graft sealant. The trial design has been submitted to the FDA in a further pre-submission to ensure alignment with the FDA's expectations. These discussions are expected to be completed by the third quarter of this year.”

The share price was battered by news that a clinical trial was required but the above would suggest that, provided the trial is a success, the 510k route is accepted. It seems we are now at the stage of agreeing the finer points of the trial structure prior to it going ahead. The spectre of a PMA requirement seems to be absent from the tone of the update comments.

[hedgehog11] 24/6/2022 11:19

Is the classification of the device a bit of a distraction. Class 2 requires more input but that is still a 510K route, human trials are already know and classification is based on risk. I think that it is obviously class 2. My concern is how much money will be needed to get approval and where will the shortfall come from, I'd say a low expectation (a large cost) is already priced in and the next test for Rua is the quality of their IP and ability to raise the money. Class 1&2 is 510K, Class 3 is PMA. Rua will already know the classification, so it causes suspicion that they haven't announced it unless they consider it too much detail for an RNS. I'd like it if RUA came up with some more detail though. Currently expecting to have to wait until the third quarter for anything meaningful.