What Itaconix does
Its core technology was developed by a US company, called Itaconix Corporation, that it acquired in June 2016.
At the time of that purchase, the AIM-listed firm was known as Revolymer PLC, a company that had polymer technologies of its own as well as a nicotine gum business that it sold off to Danish firm Alkalon.
On March 1, 2017, the company changed its name to Itaconix.
Most of its products are bio-based, being derived from itaconic acid, which in turn is taken from corn starch, so the products are sustainably sourced, helping its customers improve the sustainability of their own consumer products.
Some of the brands under Itaconix’s banner include Itaconix CHT, a water conditioner for binding calcium that replaces banned phosphates; RevCare NE, a bio-based hair-styling polymer; and Eureco RP103, a product for the removal of stubborn stains.
Other products include Itaconix Velasoft, a natural skin conditioner for handwash; Itaconix Zinadore, a water-soluble odour neutraliser; deodorant ingredient Velafresh ZP30 and Itaconix DSP, a phosphate-free water conditioner used in detergents for consumer, industrial and agricultural applications.
How it is doing
During the coronavirus crisis, Itaconix is maintaining production, while reducing costs and negotiating payment terms to conserve its £300,000 cash reserves.
It is also assessing asset sales and considering whether to maintain its AIM listing.
Before the coronavirus outbreak, the firm was on a wave of contracts and clients, the last one for a joint development agreement for a biodegradable packaging venture in March.
The year to December saw revenue rising 60% to £1.1mln compared to 2018.
What the boss says: John Shaw, chief executive
"We have a plan to make it through to August... Our number one objective is to make sure we meet customers' orders."
"We have a very strong order book and some new products being launched shortly."
What the analyst says
Proactive's head of research Ed Stacey in his most recent update (May 6), said: 'Given Itaconix’ strong revenue growth, and exposure to the consumer staples segment, we argue that the company has a strong investment case to secure further financing."
- Orders are coming in despite crisis, especially for dishwasher detergent
- Production line still active