Two of the biggest growth sectors for investors generally are healthcare and technology so naturally when a company straddling these two sectors hits the ASX boards it creates a bit of interest.
Next Science Limited (ASX: NXS) recently raised $35 million via the issue of 35 million shares at $1 per share and now has a total of 179.1 million shares on issue to give it a market value of $242 million based on today's share price of $1.35. Indeed the stock is now trading 35% above its IPO price after only two days of trading.
According to its prospectus: "Next Science's objective is to commercialise its proprietary technology for the treatment of biofilm protected bacteria, primarily in the area of human health and with potential applications in animal health and industrial segments.
The Company's proprietary Xbio technology is a non-toxic technology with proven efficacy in eradicating biofilm and biofilm protected bacteria. Xbio has been validated by extensive clinical testing, multiple FDA clearances and more than 70,000 patient treatments since 2017."
According to its 2018 accounts it made a loss of US$13.7 million on revenue of US$2.84 million so as such it remains a speculative bet on its ability to grow sales of its four FDA approved products used to treat surgical site infections and chronic wounds.
The $35 million raised will buy it some time and the company is certainly more advanced than many other speculative healthcare businesses at the small-cap end of the market still seeking FDA approval for their own products.
Next Science could be one for the research list.
