ASX stock of the day: This small-cap ASX wellness share jumped 6% today after it filed a global patent

The share price of Holista CollTech Limited (ASX: HCT)has leapt 6% today after the company announced it had filed a global patent for its nasal balm.

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The share price of Holista CollTech Limited (ASX: HCT) has leapt 6% today after the company announced it had filed a global patent for its nasal balm. The NatShield nasal balm will contain an anti-pathogenic solution as its active ingredient that protects against coronavirus

Coronavirus protection

The anti-pathogenic solution, Path-Away, has been tested in the UK and been found to be 99.99% effective against feline coronavirus, a surrogate of COVID-19. The formulation of the nasal balm will contain ingredients that prolong and improve the effects of Path-Away within the nasal cavity. 

Who is Holista CollTech?

Holista CollTech is a natural wellness company that develops dietary supplements, food ingredients, and personal care products. The company develops, manufactures, and markets 'health-style' products to address evolving needs in natural medicine. 

Holista has a global collaboration with Path-Away, a plant-based solution that is proven to kill a broad spectrum of microbes. The solution is an active ingredient in Holista's proprietary sanitiser, NatShield, that is sold through the personal care division. 

Nasal balm to reduce viral infection

Holista is accelerating the development of the NatShield nasal balm which will reduce the risk of viral infection via the nose, either via inhalation or touch. The nose is the easiest entry point for viruses and opens directly into the sinuses, throat, and lungs. The nasal balm will be formulated so that it is non-irritating, easily applied, and can offer up to 6 hours of protection from viruses and infections. 

While formal award of the global patent is expected to take 12 to 18 months, Holista plans to commercialise the nasal balm in international markets by the third quarter of 2020 under 'patent pending' protection. This is before the onset of the flu season that coincides with winter in the Northern Hemisphere. 

Outlook

Holista saw unprecedented activity in the March quarter with strong growth in sales of its NatShield sanitiser. The increased activity has focused Holista on securing control over the global rights to the application of Path-Away in sanitising lotions and balms. Holista is building new distribution networks and partnerships and fielding numerous inquiries regarding potential opportunities. 

Holista is committed to establishing NatShield as the preferred natural sanitiser globally. The significant sales of NatShield in new markets, coupled with growing demand for the company's food products, leaves the company in a stronger financial position at the end of the March quarter. 

Motley Fool contributor Kate O'Brien has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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