What the company does
Collagen Solutions PLC (LON:COS) specialises in regenerative medicines and biomaterials. It uses collagen and other tissue – such as pericardium – to make everything from heart valves to bone grafts right through to wound dressings: it all depends on what the customer wants.
Collagen has another string to its bow in the form of a lead product called ChondroMimetic. This is a minimally-invasive, surgically-placed scaffold which helps repair knee cartilage.
How it is doing
Collagen launched a formal sales process on April 16, receiving indications of interest for a potential purchase of the whole company, a potential purchase of part of the business and a refinancing of the company by the May 15 deadline.
In May it received US$240,000 by the US government and NZ$35,000 from the New Zealand authorities as support for companies hit by coronavirus.
In the year ended March 31, revenues in the tissue business climbed 58%, however full-year revenue is expected to dip 3% to £4mln because of challenges posed by the pandemic.
Looking ahead, the company said demand and its order book for collagen supply remain strong. Cash balance at the March year-end was £2.1mln.
What the boss says: Jamal Rushdy, chief executive
"I am extremely proud of the resilience and response of our global team members to the Covid-19 crisis, and grateful for the continued support and partnership of our customers."
"We quickly implemented our Business Continuity Plan with a priority on the health and safety of our employees, their families, and our communities as well as ensuring continuity of business and delivery of products and services to customers."
"We remain confident that the markets we serve remain attractive over the long term, we continue to offer a compelling value proposition to our customers, and that double-digit growth will return as the impact of Covid-19 diminishes."