Research from another board...
Have I been able to find a better ASX stock in the medical tech or biotech space compared to IBX? No way. Here's why:
Addressable market is MASSIVE. The global cancer diagnostic / imaging market projections vary, but ~$100bn per year is not unreasonable (source - https://www.gminsights.com/industry-analysis/cancer-diagnostics-market
). The breast imaging market alone is expected to be $7bn by 2027 (source - https://www.globenewswire.com/news-release/2020/05/27/2039539/0/en/Breast-Imaging-Market-Worth-7-08-Billion-by-2027-Pre-and-Post-COVID-19-Market-Assessment-by-Meticulous-Research.html
The growth potential is very large (linked to point 1). Our market cap was <$20m AUD just a few months ago. Incredible value. Pitt Street Research valued IBX at 12c - 26c back in June 2020 (source - https://static1.squarespace.com/static/5af533a312b13fb602fe7d7b/t/5ef9974475467b19acf814aa/1593415496579/Imagion+Biosystems+update+report+30+June+2020.pdf
). The value based on the strategy and data provided above, could see us in very green fields in the near, medium and long term providing we have a successful completion of our first-in-human study in patients with HER2- positive breast cancer, and positive results from studies and trials supporting the use of the MagSense technology for diagnosing prostate and ovarian cancers.
FDA “breakthrough device” status: We are proposing a new cancer detection approach with FDA “breakthrough device” status, that fundamentally changes the way that cancer can be detected. Whilst existing imaging technology e.g. X-Ray, MRI etc. is able to detect tumours and show where in the body the tumour. It takes millions of cells to make a tumour big enough to show up on these imaging tests (source - https://www.cancer.org/treatment/understanding-your-diagnosis/tests/imaging-radiology-tests-for-cancer.html
). In simple terms, given that most cancers are asymptomatic, the tumour will be large (and has developed defensive mechanisms or has already progressed / spread) before traditional imaging picks it up. IBX tiny bio-safe nanoparticles act as a magnetic beacon detectable when they attach to cancer cells. In other words, they can detect cancer cells accurately, safely and early. Earlier than the human race has ever been able to do so at scale. This is a paradigm shift to cancer diagnostic. A new era.
Lives will be saved as a result of IBX tech. Cancer is now responsible for almost 1 in 6 deaths globally. More than 14 million people develop cancer every year, and this figure is projected to rise to over 21 million by 2030 (source - https://www.who.int/news-room/detail/03-02-2017-early-cancer-diagnosis-saves-lives-cuts-treatment-costs
). New guidance from WHO, launched ahead of World Cancer Day (4 February), aims to improve the chances of survival for people living with cancer by ensuring that health services can focus on diagnosing and treating the disease earlier. This is the entire purpose of IBX “Imagion Biosystems (ASX: IBX), a company dedicated to improving healthcare through the earlier detection of cancer” (source - IBX homepage or any IBX announcement on the ASX).
Money will be saved. Detecting cancer early also greatly reduces cancer’s financial impact: not only is the cost of treatment much less in cancer’s early stages, but people can also continue to work and support their families if they can access effective treatment in time. In 2010, the total annual economic cost of cancer through healthcare expenditure and loss of productivity was estimated at US$ 1.16 trillion. (source - https://www.who.int/news-room/detail/03-02-2017-early-cancer-diagnosis-saves-lives-cuts-treatment-costs
). Governments (reduction on healthcare costs), life and health insurance companies (reduction in claims / payouts), corporations (reduced time to return to work) etc. will only be supportive of this advancement as a result.
We have cash in the bank and well positioned for upcoming trials and ventures. “As we have gained confidence that our plans for our first Phase I study remain on track, this capital raise provides certainty that we have funds sufficient to not only see us past the completion of the first-in-human study, but to begin expanding our focus beyond the FIH study. This ultimately will add value, build pipeline depth and breadth, and enable us to reach our destination more quickly,” said Bob Proulx, Executive Chairman of Imagion Biosystems. (source - IBX announcement to the ASX on 29 July 2020 “IBX raises $5M in oversubscribed placement”).
A GLOBAL player is onboard - Siemens (source - https://themarketherald.com.au/imagion-biosystems-asxibx-to-collaborate-with-siemens-healthineers-for-magsense-2020-05-20/
). Strategic collaboration(s) or licensing agreement(s) with any of the major medical technology players for IBX is only going to have upside for IBX
Portable MRI scanners - Imagion’s iron oxide nanoparticles enable low-field magnetic resonance imaging - meaning portable MRI scanners meaning more people can be diagnosed early and a bigger market for IBX. Recently, University of Sydney demonstrated that Imagion’s iron oxide nanoparticles enable low-field magnetic resonance imaging, which could provide a significant advancement in medical imaging by reducing the cost and improving the accessibility of MRI. This research reinforces the significance of the clinical and commercial opportunity for Imagion’s nanoparticles (source - IBX announcement to the ASX on 21 July “Research shows Imagion nanoparticles enable low-field MRI”).