InPlay 9:07AM Organovo provides guidance on topics to be discussed at an upcoming investor conference on Dec 5, 2013; company plans to launch an initial 3D liver tissue assay product in 2014 ( ONVO) 9.60 : Co provides guidance on topics to be discussed at an upcoming Retail Investor Conference on December 5, 2013 including:
Product pipeline and revenue potential: As described previously in the company's presentations and investor communications, including the freely available Retail Investor Conference from September 12, 2013, the company plans to launch an initial 3D liver tissue assay product in 2014, followed by a series of additional tissue assay products. Based on market research, Organovo believes that each of the product opportunities it has identified can grow into the tens of millions in annual revenue and has a $100 mln+ addressable market, with an overall market opportunity of $500 mln across all tissue products by 2018. Beyond this market opportunity, defined by sales of current cell based models, also lies the opportunity to develop products and services for the multibillion dollar animal preclinical testing market for pharmaceutical, cosmetic, and environmental industries.
Partnership model revenues: As described previously, the company will discuss its partnership model revenue opportunities, targeting $10-30 mln in milestone payments and 3-7% in future royalties per opportunity. Organovo will also review its existing agreements, including its existing agreement with pre-agreed royalty and milestone payments in these ranges.
Cash burn and R&D spending: As covered in previous presentations, Organovo will review its cash position, currently consisting of ~3 years of cash on hand, and its plans to continue to grow its R&D spending in a controlled manner based on product and partnership opportunities. |
