The medical technology company's share price soared 33% higher to 28 cents in early trading, before retreating slightly to 26 cents apiece at the time of writing. That's still 23.81% higher than the previous closing price.

Osteopore engineers and commercialises products that regenerate the tissues in the bones.

What did the company announce today?

In today's release, Osteopore advised it has signed an agreement for an $18.7 million project with two major research institutes in Singapore.

The company will work with the National Dental Research Institute and the Agency for Science, Technology and Research to develop jaw implants.

As part of the study, the company said it would test some of its patented products for potential use in dental applications.

Osteopore would use the research results to help develop jaw implants that would ultimately simplify future dental procedures.

If this research proved successful, the company said it could tap into a global market worth an estimated $1.26 billion.

Osteopore will commit $1.8 million towards the project over three years.

Management comment

Welcoming the announcement, Osteopore CEO Goh Seng said:

We are very thankful to participate and lead this grant and for the support of all the institutions involved in this research.

We strongly believe in developing and commercialising regenerative technologies for the well-being of patients.

Company chair Mark Leong added:

We are constantly developing new and better applications for our technology as well as growing addressable markets. This partnership project is a significant step for Osteopore.

Osteopore share price snap shot

Osteopore investors have experienced a turbulent year in 2021, falling 50% since January. In the past 12 months, the Osteopore share price has also dropped by around 50%.

Osteopore reached a yearly high of 53 cents in April, before dropping to a yearly low of 20 cents last week.

The company's total market capitalisation is around $30 million, based on the current share price.

The post Osteopore (ASX:OSX) share price rockets 24% on major new deal appeared first on The Motley Fool Australia.

What's driving the Osteopore share price?

The Osteopore share price is marching higher after the company advised it has signed an exclusive distribution agreement. The deal was struck with MTG Medizintechnik Göhl (MTG) to promote and sell Osteopore products to German and Austrian markets.

Under the terms of the agreement, MTG will market Osteopore's range of products for craniofacial procedures and implants. Osteoplug, Osteoplug-C and Osteomesh products already have European regulatory approval so MTG can immediately commence with marketing the products. MTG has indicated that immediate discussions with hospitals and doctors are on the table, with no red tape standing in the way.

The distribution deal does not include minimum sales KPIs (key performance indicators) and therefore the company has not provided any guidance on sales forcasts. It's a 2-year agreement with standard termination provisions. Osteopore has stated that it will work closely with MTG to drive successful outcomes. Ultimately, this includes helping MTG to provide sales training and support sales reps on an ongoing basis. The goal is to promote Osteopore products to surgeons across Germany and Austria. Additionally, MTG already has a national sales market and is recognised for its expertise in the promotion of current and previous Osteopore products. 

Osteopore as a brand has previously been exposed to the German market in the research and clinical development fields. Additional partnerships were developed in the past as a result of the Osteopore technology. Of most note was the company's first paediatric, patient-specific skull reconstruction in a 11-year-old patient in 2008 at the Munich University Hospital.

About Osteopore

Osteopore is an Australian medical services and biotechnology company. Although based in Australia, most of the company's research and development (R&D) is actually conducted out of Singapore. Osteopore's manufacturing also takes place in Singapore.

The company specialises in the manufacture of innovative regenerative implants on a commercial scale. It combines 'biomimetic tissue' science with proprietary 3D printing and materials technology. Using these processes, Osteopore produces medical implants designed for both tissue and bone reconstruction and restoration.

Known as 'bioresorbable implants', these products provide a 'scaffold' for bone regeneration, dissolving over time to leave only natural bone tissue behind. Osteopore states that it manufactures these implants to address "unmet clinical needs and improve patient outcomes". 

What did management say?

Osteopore CEO, Khoon Seng Goh, made this statement:

We are pleased that after over 12 years of clinical cooperation with German surgeons and researchers, we can now provide Osteopore products for wider use in German hospitals and treat German patients.

More on the Osteopore share price

Osteopore listed on the ASX in September 2019 at a price of 62.5 cents. Today, the Osteopore share price is trading at 58.5 cents.

The last 12 months or so have been highly volatile for Osteopore shares. At its all-time high, the Osteopore share price rose to $1.49 late last year before plummeting to a 52-week low of 28 cents in March this year. This low did, however, coincide with the broader market crash associated with the onset of the coronavirus pandemic. 

Investors have been bullish on the company's shares in November, with the Osteopore share price rising a little more than 10% so far this month including today's gains. It will be interesting to watch how the company's sales and share price perform as this latest distribution deal kicks into play.

The post Osteopore (ASX:OSX) share price moving higher on distribution deal appeared first on The Motley Fool Australia.

Every company has a story to sell. The trick is to identify value and opportunities. Researching your chosen business is a great start, but it also pays off to look at its rivals and the macro-environment.

Here are my top 2 small cap ASX shares that I think will perform in 2021.

Botanix Pharmaceuticals Ltd (ASX: BOT)

Botanix is a synthetic cannabinoid pharmaceutical company that focuses on dermatology and antimicrobial products.

Pipeline products include the BTX 1801 gel which prevents surgical site infections by killing bacteria during surgery incisions. Currently in a phase 2a study, Botanix aims to combat the growing global antibiotic resistance that affects millions each year.

In April, Botanix received a major boost from the United States Food and Drug Administration (FDA). The company's flagship BTX 1801 received a Qualified Infectious Disease Product status. The incentivised status grants an additional five-year regulatory exclusivity, meaning generic products cannot enter the market. Furthermore, Botanix is eligible for a priority FDA review, cutting the standard review period to 6 months from the original 12 months. Furthermore, fast-track designation enables Botanix to have more frequent communication with the FDA during the drug development and review process.

At the time of writing, the Botanix share price is trading at 10 cents, up 7.5% for the day. With a market capitalisation of $97 million, if the company can perform to market expectations, its share price will soar.

Botanix could be a game-changer for infection preventative diseases. I would keep an eye on the medical company as a speculative buy.

Osteopore Ltd (ASX: OSX)

A medical technology company based in Australian and Singapore, Osteopore specialises in the production of 3D printed bioresorbable implants. The in-house manufactured product is used in conjunction with surgical procedures to assist with the natural stages of bone healing.

Osteopore recently secured an initial US distribution agreement with Bioplate Inc. that looks to penetrate the world's largest healthcare market in the second half of 2020. The company also gained approval from the Therapeutics Goods Administration (TGA) for market entry in Australia. Osteopore's new geographical presence should see incoming revenue streams as it expands manufacturing capabilities.

Allied Market Research estimates the market opportunities for bone graft substitutes will be US$3.9 billion by 2025. Osteopore's current sales come from the cranial/maxillofacial (CMF) area which represents 20% of the entire market. Other market segments like dental and cosmetic (nasal) are comparable to size with CMF, which Osteopore is now starting to penetrate.

Most significantly, 40% of the bone graft substitute market derives from orthopaedic and spine. This untapped opportunity could be huge from Osteopore should it succeed in its clinical trials.

The Osteopore share price has moved 0.9% higher today to 53 cents at the time of writing. The med tech company is valued at $62 million and has no debt. In light of this, I think the Osteopore share price might surge much higher if it can develop new distribution networks.

I believe this relatively new ASX-listed company (floated in September 2019) could be destined for big things. I would consider snapping up Osteopore as a small cap ASX share in the buy zone today.

The post Why I think these small cap ASX shares will perform in 2021 appeared first on The Motley Fool Australia.

What did Osteopore announce?

In a release to the market shortly after midday today, the company announced it has signed an Exclusive Option to licence novel 3D printed modular bone implant technology being developed at the Queensland University of Technology (QUT). 

The technology has shown encouraging early stage results for regrowth of long bone defects in patients who have lost more than six centimetres of bone to injury or disease. Additionally, the technology has the potential to disrupt the supply chain model of customised implants. 

Osteopore and QUT will collaborate to generate sufficient clinical data to support regulatory submissions to the Therapeutic Goods Administration (TGA), United States Food and Drug Administration (FDA) and European regulators. As a result, the evaluation of the technology could potentially lead to an opportunity to acquire it. 

The agreement between the parties will progress through two stages. The first stage is to gather clinical data and stage two is regulatory approval and commercialisation. In stage two, Osteopore could have exclusive worldwide licence to commercialise the technology. 

However, the company has advised that this project has a long development pathway and commercialisation of any product could take years. Worst case scenario, there may not be a product at all.

Terms of the agreement and potential market opportunity

Ostopore will provide $40,000 in cash, plus in-kind support and has secured a $100,000 non-dilutive grant from QUT. Under any future commercial agreement with QUT, the company would need to provide a market entry fee of $100,000 and provide royalties with a potential range of 2-6%. 

The market has significant growth potential according to a Boston Consulting Group report published in 2015. In a more recent publication released in March 2018, Boston Consulting reported the compound annual growth rate (CAGR) for reconstructive implant in orthopaedic and spine as being 5.1%. As a result, the global market potential is expected to be $30 billion by 2022. 

About this ASX medical share

According to its website, Ostepore specialises in the production of 3D-printed, bioresorbable implants that are used in conjunction with surgical procedures to assist with the natural stages of bone healing. 

Since the announcement, and following its considerable but short-lived rally, the Ostepore share price has settled at 64 cents at the time of writing.  

The post ASX medical share surges 30% on development news appeared first on The Motley Fool Australia.

I believe the following ASX healthcare shares have, firstly, pioneered solutions for new or unmet challenges and, secondly, started to gain some momentum. 

Defeating sepsis

Sepsis is a life-threatening, inflammatory response to infection that has spread in the body. Consequently, any infection has the potential to cause sepsis. The following figures may shock you, they shocked me.

A study published in The Lancet medical journal in 2018 revealed there were 11 million sepsis-related deaths worldwide in 2017 alone. The study, which included 195 countries, highlighted the fact that sepsis accounted for 19.7% of all deaths globally. Kind of puts things into perspective doesn't it? 

Enter Recce Pharmaceuticals Ltd (ASX: RCE). This ASX healthcare share is developing a new class of synthetic antibiotics. They are designed to deal with the new form of antibiotic-resistant superbugs. As such, they continue to be effective, even with repeated use. 

The company's primary focus has been to develop a treatment for sepsis. Its lead candidate, RECCE® 327, has received awards labelling it for 'fast track designation'. This allows global regulators to expedite the review and approvals process. Furthermore, it grants the product 10 years of market exclusivity post approval.

On Thursday, following a 2-day pause, Recce shares began trading again after announcing two of its products had been selected as part of a CSIRO study for antiviral treatments to manage COVID-19. Correspondingly, the Recce share price rocketed up by 54.14% yesterday.

Healing broken bones

Osteopore Ltd (ASX: OSX) is an ASX healthcare share that has patented a world first technology in the production of 3D-printed, bioresorbable implants. These implants are used in conjunction with surgical procedures to facilitate bone healing. They do this by providing a lattice or framework between the two ends of a break for the bone to grow back on. Once the bone has healed, the material is absorbed into the body.

Alternatives to Osteopore include bone grafts and permanent implants, i.e. plates and pins. There are, however, competitors to Osteopore in the substitute bone graft space. Nevertheless, the company's competitive advantage lies in its 3D printing technology, for which it holds a number of patents. Moreover, this technology is precise and allows for customisation of shape and geometry.

The current bone graft substitute market is worth around US$4 billion, whereas sales of permanent implants are estimated at over US$100 billion annually. Most of which is in the United States.

As at February 2020, the company's products had been used to successfully treat around 30,000 patients, predominantly in the Asia Pacific region. On 2 July, Osteopore announced it has signed a distribution agreement with a United States company. This opens up significant opportunities for it to capitalise on this highly lucrative market. The Osteopore share price rocketed more than 270% to a new all-time high of $1.49 following the announcement. Shares have since fallen back and are currently trading at 58 cents. 

Foolish takeaway

These are just two of the many pioneering, healthcare shares available on the ASX. I believe they offer proven technologies and limited requirement for regulatory approval (or considerable expertise in how to navigate the regulatory system, at the very least). I expect both of these healthcare shares to do well over the medium term. Having said that, being fairly newly listed, small caps, there is likely still a lot of bumpy road between now and a 10 times increase in the current share price.

The post 2 breakthrough ASX healthcare shares appeared first on The Motley Fool Australia.

If you're looking for ASX shares to buy that capitalise on our Aussie innovation, here are 3 very inventive smaller companies that are all working on groundbreaking technologies.

Avita Therapeutics Inc (ASX: AVH)

Professor Fiona Wood is the director of the Royal Perth Hospital burns unit, the inventor of spray-on skin, and the founder of Avita Therapeutics. This company develops spray-on skin technologies. The company's flagship product is RECELL. The primary use of the product is for burns, paediatric scalds and large surface area wounds, but the opportunities in genetic skin diseases, vitiligo and even aged skin rejuvenation are even more exciting.

The Food and Drug Administration (FDA) finally approved RECELL in September 2018. It recently redomiciled in the US where its major growth market lies. Its Q3 sales more than doubled compared the prior corresponding period. 

Although all technology companies are risky, I think this is a good ASX share to buy and likely to perform well from here. 

Electro Optic Systems Hldg Ltd (ASX: EOS)

Founded in 1983 from the privatisation of Commonwealth of Australia space activity, Electro Optic Systems develops advanced optical sensors. These have been applied to many high technology solutions, including the space situational awareness network in conjunction with the US. This monitors and tracks orbiting space-based objects such as satellites and debris using ground-based radar and optical stations. 

In the defence sector, it develops a range of remote weapons systems for use on tactical vehicles – products that are battle-proven technology, as well as world-leading counter-drone technology. On Friday, the company announced it was in negotiations with the Commonwealth Government over the purchase of 251 remote weapon stations and related material. This is part of the federal government's $270 billion capability upgrade for the Australian Defence Force.

Electro Optic saw its share price rise by 11.53% last week and has shot up by a whopping 21.99% today.

Brainchip Holdings Ltd (ASX: BRN)

Former West Australian Peter Van der Made has been at the forefront of computer innovation for 40 years. IBM and First International Computer in Taiwan own his past technology companies. 

He is also the founder of Brainchip Holdings, a company working in artificial intelligence (AI) headquartered in the US. Brainchip is the only pure play AI company on any share market globally. The company is working on semiconductor technologies to advance the capability of artificial intelligence. Its existing products reduce the carbon footprint of data centres, as their ultra low power use requires less cooling.

The company has developed a software package called BrainChip Studio to commercialise its technology. Uses of the technology include facial recognition in anti-terrorism and airport security, as well as pattern recognition in casinos. The company's share price finished the week up by 26.5% after announcing an important milestone in the progress of a first of a kind AI technology. 

The company continues to commercialise its technology. I think this company has the potential to be to AI what intel was to personal computing.

Foolish takeaway

From mundane products like the garage roller door and the humble notepad, through to the first in-vitro fertilisation birth and the world's first vaccine to prevent cervical cancer, Australians are an inventive people. In my view, we are also getting a lot better at commercialising our discoveries.

BrainChip, Electro Optic and Avita are just some of the great innovative ASX shares to buy, but there are many others. These include exciting companies like Osteopore Ltd (ASX: OSX), Nanosonics Ltd. (ASX: NAN) and Polynovo Ltd (ASX: PNV).

The post 3 innovative ASX shares to buy appeared first on The Motley Fool Australia.

Why is the Osteopore share price surging?

Earlier this morning, Osteopore announced that the company has signed a non-exclusive, 2-year agreement with established US market leader Bioplate Inc. The agreement will see Bioplate help Osteopore sell its patented 3D printed, bioresorbable products for cranial and neurosurgery procedures. The distribution agreement covers 6 states in the US market and Bioplate will cover all technical support requirements for Osteopore's products.

The agreement with Bioplate is Osteopore's first distribution agreement since the company's IPO in 2019. Bioplate has over 20 years of experience in providing cranial fixation solutions and will provide Osteopore with an established network of health professionals, hospitals and health services in the US.

According to Osteopore, the graft substitute market is worth around US$4 billion, with sales of permanent implants estimated at over US$100 million annually. Osteopore believes that penetrating the US market is a key strategic objective, with US demand accounting for a large portion of the global demand.

What does Osteopore do?

Osteopore is an Australian and Singapore-based medical technology company that has commercialised a range of patented, 3D printed bioresorbable products. These 3D printed implants act as a scaffold for bone growth and can be used across various surgeries. As opposed to traditional bone grafts, Osteopore's implants naturally dissolve over time, leaving only health bone tissue.

According to Osteopore, the company's protective implants can reduce post-surgery complications by reducing the risk of secondary infections. All 3 of Osteopore's products (Osteoplug, Osteomesh and Osteostrip) have received FDA approval in the US and are being sold to hospitals around the globe.

Earlier this year, Osteopore reported a 60% increase in revenue for the quarter ending March 2020. The company generated $321,00 in revenue for the quarter whilst also receiving approval from the Australian Therapeutic Goods Administration for several of its craniofacial products.

Foolish takeaway

Following a pause in trading mid-morning, shares in Osteopore resumed trading and are up more than 150% at the time of writing. The Osteopore share price hit an intra-day high of $1.49 earlier, representing a gain of more than 270% for the day.

The post Osteopore share price storms 270% higher on distribution deal appeared first on The Motley Fool Australia.