Nutriband CEO Publishes Letter to Shareholders
Nutriband Inc. CEO Gareth Sheridan published a letter to shareholders outlining the company's achievements in 2023 and targets for 2024. The company made significant strides in developing transdermal pharmaceutical products, securing new IP, and signing a commercial development and clinical supply agreement with Kindeva Drug Delivery for AVERSA Fentanyl, estimated to potentially reach peak annual sales of $80M - $200M. The company also reported strong revenue growth in 2023 and aims to expand its revenue opportunities through marketing initiatives and new product launches in 2024.
The CEO's letter to Nutriband Inc.'s shareholders outlines a number of strategic developments that are likely to have a material impact on the company's financial performance and market valuation. The announcement of a Commercial Development and Clinical Supply Agreement with Kindeva Drug Delivery for AVERSA Fentanyl is particularly significant. This partnership represents a critical step towards commercialization, which could substantially increase the company's revenue streams if successful. The projected peak annual sales figures of $80M - $200M for AVERSA Fentanyl and $70M - $130M for AVERSA Buprenorphine suggest a notable increase in future revenue potential.
Furthermore, the conversion of $2 million of debt into equity with a strategic shareholder indicates a strengthened balance sheet and reduced financial leverage, which could be viewed positively by investors. This action, combined with reported strong revenue growth from the Pocono Pharma subsidiary, suggests an improved financial position and the potential for enhanced shareholder value. However, it is crucial for investors to consider the inherent risks associated with clinical development and the regulatory approval process, as any setbacks could impact the projected timelines and financial outcomes.
From a medical research perspective, the issuance of new intellectual property (IP) rights by the USPTO for Nutriband's AVERSA technology represents an important milestone. It reinforces the company's competitive edge in the pharmaceutical market, particularly in the field of abuse-deterrent drug delivery systems. The focus on reducing drug abuse and misuse with the development of AVERSA Fentanyl, an opioid pain patch with abuse deterrent properties, addresses a significant public health issue. The potential market impact of such a product could be substantial, given the ongoing opioid crisis and the demand for safer pain management solutions.
The mention of upcoming FDA pre-IND and IND meetings, as well as the HAL Study for Aversa Fentanyl, indicates progress in the clinical development pipeline. These steps are crucial for gaining regulatory approval and are closely watched by stakeholders as indicators of a company's ability to bring new products to market. The planned NDA submission is a key regulatory milestone that, if successful, could lead to market authorization and commercialization of the product.
The expansion into new product lines and marketing initiatives, such as the collaboration with KT Tape and the launch of the Active Intelligence (AI Tape) Brand with Donovan McNabb as brand ambassador, reveal Nutriband's strategic efforts to diversify revenue streams and enhance brand visibility. Manufacturing these products within the United States and leveraging online sales platforms like Amazon could cater to increasing consumer preference for domestic production and e-commerce convenience. The impact of these initiatives on the company's market share and competitive positioning in the broader pharmaceutical and healthcare products market could be significant, as it may attract new customers and open additional revenue channels.
It is important to monitor the effectiveness of these marketing strategies and the market reception of the new product lines, as they will play a critical role in the company's ability to mitigate capital needs through revenue generation. The potential reduction in capital requirements could lead to less dilution for existing shareholders and improve the overall financial health of the company.
01/26/2024 - 07:00 AM
ORLANDO, FL / ACCESSWIRE / January 26, 2024 / Nutriband Inc. ("Company") (NASDAQ:NTRB)(NASDAQ:NTRBW) today announced that CEO Gareth Sheridan has published a letter to shareholders providing insights on achievements and targets through 2023 and the potential outlook for 2024. The full text of the letter is below.
Dear Shareholders,
As we wrapped up a successful 2023 and our annual shareholder meeting this week, the entire team at Nutriband would like to extend our warmest appreciation to all of you for your continued support throughout the year and into 2024. Many of you have been with us from the beginning and many more joined our common goal along the way. This goal is to change the world for the better by creating technology designed to improve the safety standard of easily abused transdermal drugs while simultaneously focusing on making these safer treatments available to patients who require them. Your support has been paramount as we strive to reduce potential dilution to shareholders, a primary goal of the management team. We have dedicated ourselves to developing a portfolio of transdermal pharmaceutical products and made significant strides these past 12 months showcasing AVERSA in London and garnering recognition for our innovative technology by peers in the pharmaceutical field, receiving multiple award nominations at the 2023 Pharma industry awards.
The USPTO's issuance of new IP in 2023 for Nutriband's AVERSA technology improves our position to bring our leading product platform to market. This underscores our commitment to innovate and address potential drug abuse and misuse in prescribed drugs currently used by patients around the globe. The new year has already been highlighted by a significant milestone with the signing of a Commercial Development and Clinical Supply Agreement with Kindeva Drug Delivery. It marks a transition to commercial scale development for AVERSA Fentanyl, shifting our focus from feasibility towards potential commercialization. AVERSA Fentanyl combines Nutriband's proprietary abuse-deterrent transdermal technology with Kindeva's FDA approved transdermal fentanyl patch system with the potential to become the world's first opioid pain patch with abuse deterrent properties. AVERSA Fentanyl is estimated to potentially reach peak annual sales of $80M - $200M 1 . AVERSA Buprenorphine, our next candidate for AVERSA was further estimated to potential reach peak annual sales of $70M - $130M .
Financially, the team is excited by strong revenue growth reported in 2023 from our Pocono Pharma subsidiary which we are working to improve upon further in 2024. Pocono and our subsidiaries are an important part of our company structure to reduce our burn rate through the clinical development process. We have recently strengthened our balance sheet converting $2 million of debt into equity with a large strategic shareholder as outlined in recent filings.Our marketing initiatives, particularly the collaboration with KT Tape, are expected to significantly expand our potential revenue growth for 2024.
In 2023, we also launched our own Active Intelligence (AI Tape) Brand portfolio simultaneously announcing Ex NFL Quarterback Donovan McNabb as brand ambassador. This new line includes our new Heating and Cooling Kinesiology Tape. All AI Tape products are manufactured in the USA at Nutriband's facility in Cherryville, North Carolina, and are available for purchase on Amazon Activeintell.com
Our 2024 goals are ambitious yet achievable, focused on FDA pre-IND and IND meetings in the near term, the HAL Study for Aversa Fentanyl, new potential partnerships, and targeting an NDA submission before our Year End.
If you haven't already taken a moment to sign up for our email alerts, be sure to do so by visiting our website: www.Nutriband.com. Signing up will ensure that you receive the latest news and announcements as they become available.
Your continued support and belief in our vision have been pivotal to our reaching these milestones and others as we forge ahead. We remain committed to delivering innovative solutions and generating value for our shareholders. Thank you for your trust, confidence and investment in Nutriband Inc.
Sincerely,
CEO, Nutriband Inc.
1 Health Advances market analysis report 2022
About Nutriband Inc.
We are primarily engaged in the development of a portfolio of transdermal pharmaceutical products. Our lead product under development is an abuse deterrent fentanyl patch incorporating our AVERSA™ abuse deterrence technology. AVERSA™ technology can be incorporated into any transdermal patch to prevent the abuse, misuse, diversion, and accidental exposure of drugs with abuse potential.
The Company's website is www.nutriband.com . Any material contained in or derived from the Company's websites or any other website is not part of this press release.
Forward-Looking Statements
Certain statements contained in this press release, including, without limitation, statements containing the words ‘'believes,'' "anticipates," "expects" and words of similar import, constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve both known and unknown risks and uncertainties. The Company's actual results may differ materially from those anticipated in its forward-looking statements as a result of a number of factors, including those including the Company's ability to develop its proposed abuse deterrent fentanyl transdermal system and other proposed products, its ability to obtain patent protection for its abuse technology, its ability to obtain the necessary financing to develop products and conduct the necessary clinical testing, its ability to obtain Federal Food and Drug Administration approval to market any product it may develop in the United States and to obtain any other regulatory approval necessary to market any product in other countries, including countries in Europe, its ability to market any product it may develop, its ability to create, sustain, manage or forecast its growth; its ability to attract and retain key personnel; changes in the Company's business strategy or development plans; competition; business disruptions; adverse publicity and international, national and local general economic and market conditions and risks generally associated with an undercapitalized developing company, as well as the risks contained under "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's Form S-1, Form 10-K for the year ended January 31, 2023 and Forms 10-Q, and the Company's other filings with the Securities and Exchange Commission. Except as required by applicable law, we undertake no obligation to revise or update any forward-looking statements to reflect any event or circumstance that may arise after the date hereof.
For more information, contact:
Patrick Ryanpaddyr@nutriband.com / support@nutriband.com
SOURCE: Nutriband Inc.
press release on accesswire.com
What is the letter to shareholders about?
The letter provides insights on Nutriband Inc.'s achievements in 2023 and targets for 2024.
What significant milestone did Nutriband Inc. achieve in 2024?
Nutriband Inc. signed a Commercial Development and Clinical Supply Agreement with Kindeva Drug Delivery for AVERSA Fentanyl.
What are the estimated peak annual sales for AVERSA Fentanyl and AVERSA Buprenorphine?
AVERSA Fentanyl is estimated to potentially reach peak annual sales of $80M - $200M, while AVERSA Buprenorphine is estimated to potentially reach peak annual sales of $70M - $130M.
What was the revenue growth reported by Nutriband Inc. in 2023?
Nutriband Inc. reported strong revenue growth in 2023 from its Pocono Pharma subsidiary.
What are Nutriband Inc.'s marketing initiatives for 2024?
Nutriband Inc. expects its collaboration with KT Tape to significantly expand its potential revenue growth for 2024. It also launched its own Active Intelligence (AI Tape) Brand portfolio, including new Heating and Cooling Kinesiology Tape.
