Shares in OptiBiotix (LON:OPTI) got off to a strong start in early trade, rising 2% and building on the near 40% increase seen in the last three months.
According to traders, the uplift can in part be attributed to Public Health England’s Obesity Report – which mooted plans for a sugar tax.
OptiBiotix is developing a range of non-digestible natural healthy sugars with zero calories that could help tackle an epidemic estimated to be costing the NHS £5.1bn annually.
The company’s chief executive Stephen O’Hara told Proactive Investors: “As companies become aware of our development programmes we are finding increasing interest from food and drink manufacturers looking to incorporate ‘healthy sugars’ into their foods as the link between what we eat and health becomes more widely known.”
At 8.20am, the stock was up 0.82p at 49.57p, valuing the business at just shy of £38mln.
The life sciences firm is developing a number of products that tap into the human microbiome to tackle obesity, high cholesterol and diabetes.
To that end it has completed preclinical studies and gained ethics approval to start human clinical studies for its potentially breakthrough cholesterol lowering product.
It also inked a joint venture with Dutch firm Nizo Food Research to develop weight management yoghurts as well as sealing an option agreement with an unnamed multi-national for the cholesterol product.