OptiBiotix Health PLC (LON:OPTI) saw its shares gain today on news it is set to launch its LPLDL cholesterol and blood pressure lowering strain in the United States next month.
In late afternoon trade, Optibiotix shares were ahead 5%, or 3.5p at 73.0p.
WATCH Milestone for Optibiotix with first sales in Germany of LPLDL capsules
In a note to clients, analysts at finnCap said: “The US is one of the largest and fastest-growing probiotic markets in the world, with expected sales of $3.3bn in 2021.
“Following on from the recent expansion of OPTI's manufacturing and supply agreement with Sacco, this is yet another example of the commercial development and industry awareness of the LP-LDL brand.”
News of the Stateside launch comes just days after Opti announced a global manufacturing and supply agreement with Italian food company Sacco.
The two – Opti and Sacco – will co-exhibit at the Supply Side West trade show in Las Vegas at the end of September, where they will present various products that contain the LPLDL strain.
Significant progress in raising industry awareness
Among the products they’ll be showing off will be CholBiome and CardioBiome – both of which contain the LPLDL strain – as well as some new concepts.
“OptiBiotix has made significant progress in raising industry awareness of its LPLDL strain,” said chief executive Stephen O’Hara.
“This has created a high level of interest in commercialising products containing LPLDL as a component in higher value branded products in markets globally.”
“Exhibiting at Supply Side West creates the opportunity to communicate with high-end decision makers in the US market with the potential to generate revenues for different formulations and presentations across numerous applications at multiple points in the value chain with US and international partners.”
Latest step in building global profile of LPLDL
OptiBiotix has previously taken various steps to build the profile of LPLDL in Europe, including a non-exclusive licence agreement with Italy-based food supplements provider, Nutrilinea.
It said that the upcoming launch in Las Vegas would be the “first of a number of steps taken” to get partners from the US on board.
The US probiotic market will be key for OptiBiotix going forward, given its size and the rate at which it is growing. Supplements alone generated more than US$2bn in sales last year, while experts reckon that will grow to US$3.3bn by 2021.
With Europe and the US almost ticked off the list, the AIM-quoted group said it is in discussions with possible corporate partners for the manufacture and distribution of products containing LPLDL in the Asian and other international markets.
-- Adds share price, analyst comment --