The Advance Nanotek (ASX: ANO) share price has risen 7% today. This gain follows the company's 17 March announcement that the Therapeutic Goods Administration (TGA) will approve 18 zinc-based dispersions and 4 new sunscreen products.
Advance Nanotek is a zinc-oxide powder producer and its products are used in foods, medicines and cosmetics, as well as in industrial materials like paints, plastics and glass.
Advance Nanotek share price rises on bulk sunscreen
However, the company is also expanding into bulk intermediate sunscreen production, with the TGA confirming it will approve four bulk SPF50+ rated intermediate sunscreen products within the next two weeks.
The company's first bulk intermediate sunscreen has been rated by Dermatest at an SPF of 64.5, with a further 8 dispersions currently being tested in Australia and Canada.
Advance Nanotek has been focusing on research and development, and improving its production capabilities. It announced in February that it's developing an all-natural insect repellent sunscreen, and has also increased its dispersion lines to be able to produce the equivalent of 250 million 100 gram tubes annually.
It can also produce 5,000t of zinc oxide per year, with these improvements all made out of the company's existing cashflow. All of the company's 15 new bulk products are vegan or organic-based, tapping into growing industry trends.
A closer look at Advance Nanotek
The Advance Nanotek share price has suffered notorious fluctuations on the ASX, from as low as 8 cents per share after the global financial crisis to a high of $7 in 2019.
The company suffered throughout the COVID-19 pandemic and posted poor results in its half-year accounts statement released in February, due to a 20% decline in sunscreen revenue.
The company has remained debt free despite lower turnover, with a $260 million market capitalisation, and is in the process of attempting to list on the NASDAQ index.
The Advance Nanotek share price is currently sitting at $4.34 after strong gains recently, with a 16% gain for the month.
