Cambridge Cognition Holdings PLC (AIM:COG) shares rose 14% to 45p on Monday after the AIM-listed neuroscience technology company announced a partnership to commercialise its CANTAB Pathway cognitive screening product in India.
The agreement with Ivory, a venture-backed brain health company headquartered in India, was the second healthcare and consumer partnership announced since the company launched the product in January.
The broker said Cambridge remained in an “exploratory phase” in healthcare and consumer opportunities for the product and that it was therefore “too early to change our estimates or target price”.
It added that “the momentum is encouraging” and said the agreements provided some support for the “revenue step-up we currently expect in FY2027”, while maintaining its 'buy' recommendation and 56p target price.
Panmure noted the India agreement was non-exclusive, allowing Cambridge to pursue additional routes into the market.
The broker said Ivory operates both a consumer-facing app for cognitive testing and provides professional cognitive testing services into hospitals and clinics, and that the clinical channel was the more interesting route as the UK group seeks to establish CANTAB Pathway “in the clinical field”.
It also said it expected early activity to focus on more affluent segments in India to support appropriate pricing.
Panmure said CANTAB Pathway, which uses established CANTAB tests delivered through an application programming interface into a partner’s platform, should support attractive margins because it does not require additional hardware or direct input from Cambridge Cognition.
It said CANTAB’s long-running use provided an advantage over newer entrants because it is difficult to generate the volume of verified data needed for clinical adoption, and noted that the tests are supported by “over 3,500 clinical papers published” and availability in multiple languages.
Panmure said the partner-led approach should enable Cambridge Cognition to pursue healthcare markets with minimal go-to-market cost, and it expected partnerships to remain non-exclusive.