Skin Elements (ASX:SKN) focused on expanding exclusive SE Formula™, commercialising SuprCuvr in September quarter - Kalkine Media

Highlights

• Skin Elements is focused on expanding the product range of its proprietary SE Formula^TM.
• Skin Elements is working towards extending the SuprCuvr product range further than its current use as a hospital-grade disinfectant by developing new products at different price points.
• Skin Elements has received an R&D rebate of AU$984k for its natural antimicrobial technologies.

Skin Elements (ASX:SKN), an Australia-based natural organic health and wellness product company, has published its quarterly report for September 2022.

According to the company’s executive chairman, Mr Peter Malone, SKN’s SE Formula^TM product ranges are in production, and the company has continued working at close quarters with key distributors in order to develop sales opportunities for their SE Formula^TM.

Exploring possibilities for expanding commercial applications of SE Formula^TM

The SE Formula^TM is a high-performance, proprietary, all-natural, plant-based, antimicrobial technology that is used in the company’s brands.

Some of the Company’s brands (Image source: Company update)

Skin Elements is pursuing opportunities to grow the SuprCuvr product range beyond its current use as a hospital-grade disinfectant by developing new products at different price points.

In tests, SuprCuvr has demonstrated the ability to kill potentially dangerous pathogenic bacteria, including Escherichia coli and Staphylococcus aureus –  pathogens commonly found in hospitals.  

Further, the Company is undertaking trials in Australia and New Zealand for its new Eco Nuture organic plant biostimulant. Positive outcomes from the trials indicate the potential for new product applications in the fields of agriculture and horticulture.

SKN is also shipping its product range of Soléo Organics to international markets.

Commercialisation of SuprCuvr

Image source: Company update

Skin Elements has a SuprCuvr distribution agreement with Pacific Health Care Pty Ltd (Pacific Health). Pacific Health has submitted SuprCuvr on formal tender lists for broad-scale adoption by government departments in Western Australia and Queensland. Further, it is working towards sales and distribution opportunities with the governments of New South Wales and Victoria.

Once the tender list process is secured, Pacific Health will be able to deliver SuprCuvr contracts with these government departments.

Australia-based Thomson Coachlines has recently adopted SuprCuvr for use in its bus fleet. It now disinfects a coach daily in less than 10 minutes and achieves high levels of protection against COVID-19, bacteria, and germs, without any damage to the bus interior.

The Hong Kong-based cleaning company Healthy Giant Limited has recently started using and retailing SuprCuvr hospital-grade disinfectant; this includes treatment services for the Hong Kong Government and several global companies that are based in Hong Kong.

Corporate activities

Skin Elements received an R&D rebate of AU$984k for developing new applications for its natural antimicrobial technologies.

As per Skin Elements’ equity funding facility agreement with LDA Capital, the latter will be providing the former with nearly AU$20 million in committed equity capital over a 36-month period.

After the quarter end, in October, the company announced that it had raised AU$700,000 in cash (before costs) in a private placement to sophisticated investors.

The operating cashflows for the quarter bear testimony to the Company’s R&D focus, and include:

1. customer receipts of AU$42,000,
2. R&D tax rebate of AU$984,000, and
3. AU$648,000 investment in product manufacturing, staff, and R&D.