Health Check: More biotechs change their names, but will they smell just as sweet?

Respiratory telehealth house Respiri proposes changing its name to Vitasora – its third title tweak over one and a half decades.

Most of us are stuck with our names, but biotechs can adopt new monikers and aren't shy to do so. Pic via Getty Images

• Respiri has raised $4 million and plans to change its name to Vitasora

• Truscreen warns of revenue ‘slippage’ but scores China deal

• Bright revenue news for Lumos

 

“What’s in a name?" Juliet asked of Romeo, implying that it shouldn’t matter that her love interest belonged to the rival House of Montague.

In the life sciences sector monikers do matter – and there’s a rich history of companies adopting inventive names to reflect new business activity.

Or perhaps escape from a chequered past.

In the case of Respiri (ASX:RSH), the ‘connected care’ operator is about to adopt its third name – Vitasora – after raising $4 million in a placement to further its US-centric growth ambitions.

Respiri’s lead product is Wheezo, an app-based device to detect conditions such as asthma and chronic obstructive pulmonary disorder.

The company is also making a broader push into the telehealth market, having acquired the private Texas-based company, Orb Health, in a US$9 million all-scrip deal last November.

Wheezo fits nicely into this platform.

Seeing you asked, Vitasora derives from ‘vita’ (Latin for ‘life’) and ‘sora’ (Japanese for ‘sky’).

In 2015 the company changed its name to Respiri from Isonea, having been known as Karmelsonix before 2011.

(Isonea derived from ‘I’ for innovation, the Latin ‘sonus’ for sound’ and ‘ea’ for apnoea, or ‘without breath’).

Respiri did the two-tranche placement at 4.8 cents, a 16.7% discount to last Wednesday’s frozen closing price.

In other recent title tweaks, Pharmaust became Neurizon Therapeutics (ASX:NUZ) and LBT Innovations changed its name to Clever Culture Systems (ASX:CC5).

Cronos Australia became Vitura Health (ASX:VIT), Regeneusregenerated into Cambium Bio (CMB) and the once-listed Bionomics now is known as Neuphoria Therapeutics.

In the meantime, the brand consultants are upgrading their spas.

Truscreen wins a China deal but warns of revenue ‘slippage’

Distinguished by its focus on developing markets rather than Trumpland, cervical cancer detection house Truscreen Group (ASX:TRU) has signed a deal with a large Chinese party whilst warning of some revenue “slippage” into next financial year.

The memorandum of understanding is with Hangzhou Dalton Bioscience (Dalton Bio), which makes DNA tests for human papilloma virus (HPV), as well as lab equipment for cervical cancer screening.

The deal would entail Dalton Bio’s HPV vitro diagnostic products being marketed globally under the Truscreen brand (except in the US and Canada).

Dalton Bio also would appoint Truscreen as a global distributor of Dalton Bio’s HPV products.

Truscreen’s eponymous, AI-enabled tool can be used without the need for a nearby lab to send the samples for testing.

Hence, the company has programs in countries including Vietnam, Zimbabwe and Uzbekistan.

Management says revenue from the programs in Zimbabwe and Vietnam will slip from the year to March 2025 into next financial year (Truscreen is Kiwi based, hence the March balance date).

Delayed product registration in Indonesia and Uzbekistan has also slowed commercial activity.

The company guides to current year revenue of $1.7 million compared to $2.1 million previously, with an “improved” loss on the 2023-24 deficit of $2 million.

Truscreen expects its program with the Ho Chi Minh Public Health Association to start in April, while Indonesian sales are due to start next month (following the appointment of a distributor).

Pacific Edge wins crucial support

Fellow Kiwi cancer diagnostics provider Pacific Edge (ASX:PEB) has won support for its bladder cancer assay from the American Urological Association (AUA), which could prove crucial in its quest reinstated for US Medicare coverage.

Given Pacific Edge shares have soared around 140% since Friday’s disclosure, it’s not just your columnist holding that opinion.

In June 2023 the company learnt that Medicare coverage for its test would stop as of February 23 (extended last month to April 24).

The reimbursement gatekeepers deemed the test not to be “reasonable or necessary”.

In an amendment to its clinical guidelines, the AUA has included the company’s genetic testing tool Cxbladder Triage as the standard of care for managing patients presenting with microhematuria (blood in the urine).

The AUA says Cxbladder is the only test with “grade A” evidence for the use of urine-based biomarkers to assess intermediate-risk patients

Pacific Edge anticipates an uplift in Cxbladder demand as “more clinicians in the US and around the world observe this updated guideline and incorporate the tests into care pathways for the … management of patients presenting with microhematuria.”

… while Amplia gets an FDA tick

With new US health czar Robert F Kennedy Junior making his early mark on the Food & Drug Administration, any positive feedback on proposed trial designs is comforting.

In the case of pancreatic cancer drug developer Amplia (ASX:ATX), the company held a so-called Type D meeting with the authority to seek its thoughts on proposed modifications to a planned clinical trial.

The study will road-test Amplia’s so-called FAK inhibitor, in combination with the common chemotherapy Folfirinox, in advanced patients.

Amplia specifically sought commentary on dose escalation and dose-optimisation aspects of the study.

The FDA’s response? “Appears reasonable”

This clears the way for Amplia to enter final trial planning stage for the trial.

Lumos revenue enlarged by pregnancy testing tie-up

Still on diagnostics, Lumos Diagnostics (ASX:LDX) expects to glean US$600,000 to US$800,000 of extra revenue, by way of an extension to a partnered development program for one of its key women’s health tests.

The development agreement is with the Nasdaq-listed Hologic Inc and covers a new foetal fibronectin test.

The parties expect to complete phase two by April, after which Lumos will provide Hologic with “additional hardware features” for the phase three (prototype) stage.

Foetal fibronectin is a protein that helps keep the amniotic sac attached to the uterine lining during pregnancy. Low levels can increase the risk of a pre-term birth.

The total agreement is now worth US$5.3-5.5 million for Lumos.

Put in context, Lumos last week reported revenue of US$6.3 million for the December 2024 half, up 128%, with a net loss improving to US$2.8 million from US$4.44 million previously.

Biotron’s survival Plan B

Antivirals house Biotron (ASX:BIT) has devised a new plan to raise funds it desperately needs to stay afloat.

Last week, Biotron unveiled a share purchase plan to raise up to $2.7 million at one cent apiece and a minimum $500,000. It if didn’t raise the minimum half mill, the company probably would call in the administrators.

The company has scrapped that one in favour of a one-for-one rights offer to raise up to $2.7 million at 0.3 cents – an “attractively priced” 66% discount to the prevailing once cent share price.

That’s one way of putting it.

The clincher is that the offer is partially underwritten to the tune of $750,000 by the Perth broker Mahe Capital.

So whatever happens, Biotron is guaranteed to have more funds through the door than otherwise would be the case.

The money will underpin the company’s plans to find a strategic partner and to fund a small animal study of its lead hepatitis B program.

Biotron shares halved to 0.5 cents after Friday’s change of plan, but the company lives on for now.

At Stockhead, we tell it as it is. While Lumos Diagnostics is a Stockhead advertiser the company did not sponsor this article

Originally published as Health Check: More biotechs change their names, but will they smell just as sweet?