Tyratech Share Discussion Threads

[mdchand] 16/10/2013 21:44

Some interesting buying seen today - wonder if some of the Directors have been topping up again.

[ashtree2] 16/10/2013 09:00

I like this one also because of the commitment of the directors and they are the best gauge of the health of the company.Added in the last 2 days.ash

[michaelsadvfn] 16/10/2013 08:00

Nobbygnome - 07 Oct 2013 - 11:51:04 - 878 of 882

So Alan doesn't seem concerned about a fund raising next year! I think personally that this is a big sign for all of us....

Have you checked out his history of Director dealings? Jeez, committed or what.

Going back a couple of years+ he was buying almost 14k at 39.5p in June/2011 to take his holding to 7.88%. There were only about 47m shares in issue then.

He bought again, almost 60k, in 2011 at 35p & 29.9p

April 2012 - took 2.45m in lieu of salary...two thirds of it.

July 2012 - bought at the bottom, 250k @ 3.3ish

March 2013 - bought another 2m @ 5p when AmVan took their 29.4% stake.

October 2013 - bought 675k @ 5p taking his holding to 10.48m, 6.25%

I like to see this kind of commitment.

[michaelsadvfn] 12/10/2013 07:40

Looks as if whoever was selling has finished.

One 25k sell yesterday on TYRU, the rest were buys. I added.

[michaelsadvfn] 07/10/2013 12:27

That was my 47k just before you. Follow the Chairman.

On one of my other shares the FD bought 50k @ 99p last November. Now £5.00.

I can see Tyratech doing similar but when is the question as it doesn't have much of a following. It won't be going up on no trades that's for sure.

[nobbygnome] 07/10/2013 12:11

Just bought another 50k! Had to pay 5.5p; the MMs really don't have any stock and are bidding up aggressively. If you want a few I wouldn't hang around; I feel a rerating coming on......

Nobby

[nobbygnome] 07/10/2013 11:51

So Alan doesn't seem concerned about a fund raising next year! I think personally that this is a big sign for all of us. He already had a substantial holding so to make another big purchase is highly significant IMHO.

That salt must be very good ;o)

Nobby

[michaelsadvfn] 07/10/2013 09:44

Yes, nice to see, but what's this?....

04/10/2013 12:53:25 TYR 5.00 O 675,000
04/10/2013 12:52:57 TYR 5.00 O 675,000

[mdchand] 07/10/2013 08:59

Nice to see a decent top up purchase by the Chairman - certainly more than your token gesture purchase most execs seem to do these days.

[nobbygnome] 06/10/2013 20:50

I asked the quesion about the 50% DEET comparison. Alan said it depended on the bug you were talking about but the Tyratech product was equally potent in most cases to the 50% formulation.

Nobby

[haroldthegreat] 06/10/2013 17:20

when you have a homeopathic product one cannot usually detect it at the weakest strength or in homeopathic terms the most effective product. in homeopathy the weakest products are the most effective. the complete opposite of what you would expect unless you are prince Charles,but there again he likes talking to his plants so we are told.
what worried me was that the lice products were tested against 15% Deet and the normal strength used is 50% if you want greater protection.
Novartis are interested in their other products not the lice products as far as i can make out.
getting Novartis on board is a good sign but the launch of the other products will be vital.
just for the record mousse products for lice have never sold well in the UK and as far as i am aware there are none available at the moment.
i did not go to proactive last week but i saw them present elsewhere a few months ago.

[somerset lad] 05/10/2013 17:24

Sidam

Yes -- I was talking about the suggestion that TYR's products -- or at least VaMousse -- are just common salt. I agree with your posts and Nobby's on this topic and was adding that the quality of the partners indicates that TYR has something unique.

[sidam] 05/10/2013 16:51

Somerset Lad

I assume that you mean the salt suggestion. I am certain (as per my post) that it is multiple oils that kill or repel not just one. So I think the website is accurate. It is obvious that Nobby thinks the same.

[nobbygnome] 05/10/2013 13:25

P.S.

I have a feeling salt will not kill nits even if it does kill the lice themselves. Happy to be proved wrong but assuming that is the case, you would have to have multiple treatments to get rid of the infestation.

[somerset lad] 05/10/2013 13:22

Tyratech says on its website: "TyraTech's proprietary technology targets specific neurological receptors only active in insects and parasites. These receptors (nerve centers) are not active in humans and other mammals. TyraTech's patented scientific platform harnesses synergistic combinations of natural compounds, resulting in non-toxic products that are safe for people and pets."

The suggestion seems to be that this claim is incorrect.

If it is, Tyratech have pulled the wool over the eyes of Novartis, Kraft (as was) and AMVAC and over the authors of a fair number of academic papers; and it is in the process of pulling the wool over the eyes of major US, UK and European retailers.

Personally, I don't find the suggestion persuasive.

[nobbygnome] 05/10/2013 12:50

>> Ciley454

So I am now accused of making things up! If you had bothered to go to the meeting then you would have heard exactly the same as Sidam and I. I work in the pharma industry and so would have a slightly different take to Sidam because of my background knowledge. For example he said homeopathic (which is what Alan said in the talk) but actually herbal is a more accurate description.

Ok fair enough you found the label but then made 2+2 =5. Before you start spreading rumours on the bb it is better to get further information. Approaching the company for an explanation would be a good start.

Salt may well have an effect on its own but if you saw the video of the effect which Sidam and I saw you would know that there is no way salt could do that. It was very impressive. My kids (now grown up) had head lice on a number of occasions and we treated them with the pesticide based products. After this you had to comb out the nits and the lice and usually one treatment didn't kill all of them. With Vamoose they literally fall out of the hair, stone dead!

Hopefully we have put this argument to bed and Ciley will admit he is wrong.

GLA

Nobby

[cliley454] 04/10/2013 22:50

"If salt worked so well for killing lice do you really think peole would be using Permethrin (a toxic pesticide, the usual ingredient in most competitor treatments)?"

Apparently it does.
"Sodium Chloride spray had superior efficacy to 1% Permethrin Crème Rinse in treating head lice and is a safe and excellent alternative to the current recommended treatment."
hxxp://www.teclabsinc.com/media/378828/lfs%20published%20clinical%20trial%20paper.pdf

Something's not right.

[cliley454] 04/10/2013 22:47

sidam, is this what they said at the presentation or is Nobby making it up?

"
Nobbygnome
4 Oct'13 - 13:35 - 860 of 865 0 0

So to explain why the active ingredient is listed as salt on the label. Essentially it is a way of getting round the regulatory issues when you list as a herbal medicine, which is how they are on the market in the US. After all the patient themselves isn't ill; you are just killing a pest which is present on them with a topical agent, which is why you don't need full FDA clearance. If the company went down the full FDA regulatory route, it would take multiple trials and lots of cash. Similarly in Europe I think I am right in saying that Vamoose is listed as a medical device to get round the long expensive process required for registering a drug."

Surely they can't put it on the label if it's not true.

[zelder] 04/10/2013 15:51

Again, many thanks for the excellent feedback, Sidam and Nobby.

I agree Michael. After months of thorough testing of Tyratechs products to then agree to sell them under the Novartis name, speaks volumes.

Regardless of whether the company has to do one more fund raise in order to finance a substantial roll out, the future looks very bright indeed.

[michaelsadvfn] 04/10/2013 15:06

Yes, thanks for the feedback nobby & sidam. Much appreciated.

It's the Novartis tie-up that's mainly got my interest. A global pharma isn't going to jump into bed with little old TYR if there weren't meaningful profits to be made, and meaningful profits for a large pharma would be off the scale for a company the size of TYR.

[somerset lad] 04/10/2013 14:40

Thank you both -- very informative notes.

[nobbygnome] 04/10/2013 14:09

>> Sidam

You gave more detail than me on most parts but good to see we agree on just aout all points!

OT What was your take on the DEMG presentation?

Nobby

[sidam] 04/10/2013 13:44

I did say that I would write some comment on the presentation - here is my take, which is a bit long but I hope worth a read.


I consider that the JV with AMVAC will prove of real value in the medium and long term, but I ignore it in this comment as it has no effect on revenues (these are not consolidated) and will not affect cash flow until the JV pays dividends.

The following is my take on the recent presentation. I start with products and then move to my guess on financials.

Management are focused on three product areas all of which appear to have significant short and long term potential and in addition all have USPs.

Head Lice
The presentation included a video on the treatment. It was interesting to see the reaction of the lice, which retreated from the scalp and fell onto a towel. This was because the Vamousse has a repellent imbedded. This is a completely different reaction to other treatments where the lice tend to migrate to the scalp.

It is obvious that Vamousse works and is safe. It has registration in the US and in parts of the EU. In the US it is registered as a homeopathic and in the EU as a device (the same route as Hedrin the European leader). It should be in a major US pharmacy chain in 2014 and probably also in the EU. It will be sold as a premium product. In the US, the main competing products use synthetic chemicals where resistance is growing and the synthetics are not 'very nice' chemicals. The US USPs are safe, no resistance and with better results.

In Europe the leading product Hedrin is silicon based. The product seems to work, but some of the consumer reviews have been quite poor (see Amazon). It leaves an oily residue. It may also have to be used more than once and left on the hair for some time. TYR USPs are safe, fast, ease of use (no oily residue) and single treatment.

There will be a range of products covering both the treatment and prevention of infestation.

Insect Repellent (Used for mosquito and ticks etc.)
DEET of various strengths accounts for around 70% of current solutions. Resistance is growing and the FDA recommends that this should not be used on children under 12. The TYR product is more efficacious than DEET 15% and is safe. There will be a range of products for home and outdoor use. The product has other USPs over DEET. It can be used with sunscreen and does not dissolve plastics etc. The Group is in discussions with over 15,000 stores in the US about a launch next year. It is also registered in parts of the EU.

Biocides with Novarits.
The first products will be used to treat fly and other insect infestation in barns used in intensive farming – cattle poultry etc. Novartis spent 9 months doing their own research before agreeing to sell it under the Novartis name.

The USPs are that it can be used while the animals remain in situ. There is not problem of milk contamination and it does not cause is problem in ground water. This is a substantial market opportunity in $100ms. Launch is expected Q4 2013 or Q1 2014.

Now for some numbers.
It appears that TYR had a burn rate of just under $2m in H1. (Stated loss, but add back depreciation, share and warrant charges and JV loss , which is funded by AMVAC.)

It had $3.7m on balance sheet, which management indicated was sufficient to last until June 1014. Management also indicated that cash under constant consideration. To reach breakeven the company will need to generate significant revenues. The First Columbus note suggest Gross margins of over 60% in 2014.

A GM of 60% would require revenues of $6.6m to cover cash cost of $4m. GM 50% would require $8m and 40% $10m.

Are these possible? Let us assume that Head Lice is sold to a retailer at $10 ($25 retail) in boxes of 12. If the stocking order was only one box per store, each store would buy $240 of product and the first chain of 8,500 stores would require $2m of initial stock on full roll out.

If only one treatment were sold per week (48 bottles or 4 boxes), then annual revenues would be $8m. That would double, if the other chains who are in discussions agreed to stock.

In addition there is Insect repellent and Novartis. If Novartis did start to market in Q4 2103, then the profit from that could finance the stock required for the retail market.

Working capital could be tight. But there appears a reasonable chance that TYR will get through on its current cash.

My view, this company has real upside but has dilution risks, as cash is tight.

I have a half unit and will double up if the financial situation is clarified.

Management has put in lots of $s and they have their eye on the ball.

[nobbygnome] 04/10/2013 13:35

So to explain why the active ingredient is listed as salt on the label. Essentially it is a way of getting round the regulatory issues when you list as a herbal medicine, which is how they are on the market in the US. After all the patient themselves isn't ill; you are just killing a pest which is present on them with a topical agent, which is why you don't need full FDA clearance. If the company went down the full FDA regulatory route, it would take multiple trials and lots of cash. Similarly in Europe I think I am right in saying that Vamoose is listed as a medical device to get round the long expensive process required for registering a drug.

The actual active ingredient is plant oils which inhibit G-protein coupled receptors. These receptors are a common target in the pharmaceutical industry for multiple molecules. If salt worked so well for killing lice do you really think peole would be using Permethrin (a toxic pesticide, the usual ingredient in most competitor treatments)?

With regard to cashburn, yes that of course is the major issue. They said they have cash until the middle of next year. However, Alan said revenues will be picking up strongly so they won't necessarily have to raise more cash but of course there is a possibility. In terms of revenues there are clearly a number of deals imminent and some have been signed recently as listed in the figures announcement. I asked why these deals hadn't been RNSed separately and Alan aknowledged they should have been.

Another thing which surprised me is that Novartis will be selling product either late this year or early next. I expected it would take longer for a big Pharma to get to this point. The fact that Novartis field tested the products extensively, signed a deal and are rushing the products to market is a massive vote of confidence in TYR.

There were lots more interesting snippets but I will leave it there for now apart from to say that clearly Vamoose is their priority in the near future.

GLA

Nobby