Soluble Therapeutics Acquired by CytoBioscience more

Young Living Essential Oils Partners with TFS Sandalwood Farms more

Beaufort Memorial Using Xenex Germ-Zapping Robot to Destroy Pathogens That Can Cause Hospital-Acquired Infections more

DNAtrix to Present Clinical Data at the 21st Annual Meeting of the Society for Neuro-Oncology more

Cartersville Medical Center Unveils Xenex Germ-Zapping Robot more

DNAtrix enters into license agreement with University of Florida to develop new oncolytic virus platform more

DNAtrix Licenses Myxoma Virus for New Immunotherapy Platform more

Supportive Data for the Use of Santalis Pharmaceuticals’ East Indian Sandalwood Oil (EISO) for the Treatment of Psoriasis is Presented at International Conference more

Santalis Pharmaceuticals Obtains FDA Allowance To Start A Phase 2 Clinical Study For The Treatment Of Mild To Moderate Atopic Dermatitis (AD) more

DNAtrix Announces First Patients Treated in Phase 2 Trial with DNX-2401 and KEYTRUDA more

Robotics: Germ-Zappers Are Saving Lives more

DHR first in RGV with xenon UV disinfection systems more

neoSurgical® Announces CE Mark Approval of the neoClose® Laparoscopic Port Closure Device more

Germ-zapping robot named 'Gronk' helped kill MRSA at Mass. high school more

Doctors Hospital at Renaissance is First in Rio Grande Valley to Deploy Xenex Germ-Zapping Robots more

Bio2 Medical's Angel Catheter successfully placed in first two patients more

Cardiovate Develops First Bioabsorbable Vascular Graft more

Funding San Antonio’s Biotech Ecosystem more

A biotech groups to share in major military contract to manufacture stem cells more

Robot disinfecting rooms at Life Line Hospital in Wintersville more

Life Line Hospital is the First Long Term Acute Care Hospital in Ohio to Enhance Patient Safety by Deploying a Xenex Germ-Zapping Robot more

Robots show Marin, Sonoma hospitals the light on disinfection more

Santalis Pharmaceuticals Announces Issuance of Patent for the Use of Sandalwood Oil to Treat Cancers more

Santalis Pharmaceuticals Initiates a Phase 2 Study of Mild, Moderate and Severe Atopic Dermatitis - Enrolls First Patient Into Its Australian Clinical Trial Site more

With Scaffold for Regenerating Arteries, Cardiovate Raises $350,000 more

Bluegrass Vascular Secures CE Mark Approval and Announces Successful Commercial Use of The Surfacer® Inside-Out® Access Catheter System more

Bio2 Medical® Closes on $3 Million of Venture Debt Financing more

Tropical Forestry Services prepares for first Indian sandalwood shipment to China more

Bio2 Medical® Announces 510(k) Clearance from the FDA for the Angel® Catheter, the First Ever Prophylactic Use Indication for a Medical Device for Pulmonary Embolism more

International perfumery competition winner tours Indian sandalwood plantations in the Kimberley more

SA biotech firm drawing global interest year after moving from Germany more

TFS Corporation makes bond offer more

New robot system at USC Verdugo Hills Hospital uses UV light to disinfect hospital rooms more

DNAtrix wins $2 million FDA grant for cancer immunotherapy more

DNAtrix Awarded FDA Orphan Products Development Grant for DNX-2401 more

TFS Corporation - July 2016 Update more

StemBioSys reaches European distribution agreement for its products more

BRIEF-Diamyd Medical: Cellaviva appointed European distributor for StemBioSys more

DNAtrix Receives European Medicines Agency PRIME Designation more

DNAtrix Announces Successful Intratumoral Delivery of DNX-2401 via Alcyone's MEMS Cannula for the Targeted Treatment of Recurrent Glioblastoma more

Australia forestry company TFS Corp gets two ratings upgrades more

Tour of Texas: Valence, Stellarray, Flux Farms, A&M, StemBioSys more

StemBioSys reaches distribution agreement for its products in South Korea more

Camden Clark Medical Center Introduces Newest Xenex Germ-Zapping Robot more

MPR Client Innovative Trauma Care Wins Gold at 2016 Medical Design Excellence Awards more

Santalis Pharmaceuticals Announces Positive Results From a Study Using 10% East Indian Sandalwood Oil (EISO) Serum Formulation for the Treatment of Mild-to-Moderate Plaque Psoriasis more

Texas among top states in foreign investments more

How Your Family Drives Business Decisions more

StemBioSys enters distribution agreement for its products in Japan more

San Antonio biotech firm takes big step toward global expansion more

Vidant Edgecombe Hospital adds Xenex Germ-Zapping Robot to reduce HAIs more

This hospital spent $300,000 on giant, superbug-killing robots more

Santalis Announces First Subject Enrolled in Phase 2 Trial of East Indian Sandalwood Oil (EISO) to Treat Mild to Moderate Plaque Psoriasis more

SA biotech company backing fed stem cell bill to cut red tape from regulatory pathway more

Bexar County added 4,350 jobs last year, study says more

Springfield Clinic unveils Xenex Germ-Zapping Robot for infection control more

San Antonio venture capital funding fell last year more

neoSurgical Limited Expands Indications For neoClose Device more

Bio2 Medical Closes Series D Preferred Stock more

TFS undertakes $60 million placement more

Bluegrass Vascular Technologies’ catheter system used on first patient more

Cytocentrics refunds $100,000 in economic development funds to city more

Bluegrass Vascular Technologies Announces First Clinical Use of the Surfacer® Inside-Out® Access Catheter System in Europe. more

Long-term acute care facility in California implements Xenex germ-zapping robot more

Robotic housekeeper disinfects the rooms at Modesto hospital more

Aerin Medical raises $16.7M, adds new board members more

Brokers Sniff Sweet Potential In TFS Corp

TFS Corp (TFC) has new arrangements with Asian buyers of its Indian sandalwood that are set to absorb the next five years of supply currently controlled by TFS.

Brokers brushed aside a strong first half result to highlight the potential of these contracts. Alongside the pharmaceutical contract with Galderma, TFS has contracts for 150 tonnes of heartwood to a Chinese wood customer and 30 tonnes to an existing Indian customer, as well as over a tonne of oil to a fine fragrance customer.

TFS has now forward-sold all its owned production for the next two years. Canaccord Genuity believes this situation significantly de-risks the business and the investment thesis. The company has moved from a pure plantation manager to a product distribution company that should generate lucrative cash flow for shareholders.

TFS has multi-year agreements with Chinese and Indian buyers of heartwood at prices similar to the Galderma deal, at around US$4,500/kg oil. Exact pricing depends on the quality and quantity of the heartwood delivered.

Supply over the next six years is expected to average around 300 tonnes per annum of heartwood. This is, in turn, expected to generate annual revenue of over $70m at more than 90% gross profit margins. Cannaccord Genuity highlights the lucrative nature of the asset base with an estimated all-in production cost of $500/kg over 15 years. Earnings are expected to increase 5-10% in FY16.

The loan book is currently at $38m and is expected to convert to cash in the current half. Going forward, Canaccord Genuity expects third party financing of retail grower loans will remove the funding requirements on the balance sheet through a cumulative build of a loan book through Arwon Financing.

TFS is currently seeking to secure third party funding of the 2016 retail product. This will significantly improve the earnings quality of the business, the broker contends. Plantation sales for FY16 currently stand at 1,000 hectares, up 50% on FY15. This is the highest level of forward sales in the company's history.

The company's contract with Galderma, a subsidiary of Nestle, has launched its sandalwood oil, a long-time ingredient in perfumery, into the therapeutics industry. Around 1m Benzac units, the Galdema over-the-counter acne medication, were shipped in the December quarter, representing a threefold increase in royalty payments to TFS.

The continued development of the company's pharmaceutical subsidiary has potential to be worth more than its plantation management business, in Canaccord Genuity's opinion. The broker suspects the company will validate this value through a minority listing on a foreign stock exchange in due course. Canaccord Genuity retains a Buy rating and $3.24 target.

Moelis is a little more circumspect regarding the financial and commercial impact of Benzac royalties but agrees the signing of additional supply agreements de-risks the demand expectations and yield assumptions to be realised over coming harvests.

The signing of multiple supply agreements for 60% of the 2016 harvest is a positive reflection on medium-term demand, in the broker's view, particularly give uncertainties in the past. The Chinese and Indian agreements provide further quality and diversity for longer term demand. The broker's near-term forecasts are based on the 2016 harvest, timed to contribute to FY17 earnings. A Buy rating and $1.95 target are maintained.

UBS uses a long run sandalwood oil prices of US$2,800/kg in its estimates but envisages upside risk to this forecast, should the Chinese and Indian wood market embrace the TFS product. The broker also notes new pharmaceutical trials such using the oil for skin warts. TFS expects at least one new pharma product containing its Indian sandalwood oil in 2017.

The attraction in the stock is based on Australia’s relative geopolitical risk advantage, and the long lead time to sandalwood production which has resulted in widespread illegal harvesting of sandalwood around the world.

The tree is very difficult to grow being semi parasitic and TFS has a first mover advantage of around 20 years, in the broker’s opinion. Production is forecast to increase by more than 20 times over the next 10 years. UBS retains a Buy rating and $3.25 target.

Source: http://www.fnarena.com/ back

East Indian sandalwood oil (EISO) is the key ingredient in these grooming products for dogs more

Santalis Pharmaceuticals Completes the Spin-Off of Roxy’s Remedies Inc. more

TFS Corporation - January 2016 Update more

DNAtrix's Oncolytic Immunotherapy, DNX-2401, Awarded EU Orphan Medicine Designation more

Strategic partnering deal with Cytocentrics more

Cytocentrics CEO: San Antonio to get big boost from new deal more

GhostBuster the Lab Mix Reviews Roxy’s Remedies Pure Relief Spray Gel more

Avera McKennan Addresses Patient Safety with Germ-Zapping Robots more

Santalis Pharmaceuticals Announces Positive Results from a Study of Pediatric Patients with Eczema more

Santalis announces positive results for pediatric atopic dermatitis treatment more

Here’s why the TFS Corporation Limited share price soared 28% today more

Cytocentrics gaining traction in San Antonio more

The Drugstore Acne Fighters Dermatologists Swear By more

neoSurgical® Begins Postmarket Surveillance Study more

Santalis Announces First Subject Enrolled in Phase 2 Trial more

BiO2 Medical Reports Positive Advancement of the Series D Round of Funding more

Germany’s Axiogenesis to collaborate with new San Antonio biotech company more