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Telesis Bio shifts focus to DNA, mRNA synthesis technology

Published 18/04/2024, 15:02
TBIO
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SAN DIEGO - Telesis Bio Inc. (NASDAQ: TBIO), a company specializing in DNA and mRNA synthesis solutions, announced today a strategic shift to prioritize its Gibson SOLA platform and BioXp system, aimed at accelerating drug discovery processes. The Gibson SOLA platform is recognized for its ability to integrate with third-party automation platforms and the company's own BioXp system, facilitating the synthesis of high-fidelity synthetic oligonucleotides, genes, and transfection-ready mRNA.

The company's focus on the Gibson SOLA platform is supported by a new co-development and marketing agreement with a leading automation provider, suggesting potential for future similar partnerships. This platform enables on-demand DNA and mRNA synthesis with near 100% fidelity, significantly reducing the time needed for high throughput production.

Additionally, Telesis Bio has refined the application of its BioXp system to concentrate on mRNA synthesis workflows. This system, along with mRNA synthesis kits, reportedly provides a differentiated solution for benchtop synthesis of high-quality mRNA within a week, expediting the discovery process.

To expand its market reach, Telesis Bio has broadened its selling channel, entering a non-exclusive distribution agreement with Avantor (NYSE:AVTR) to offer its BioXp benchtop synthesis solutions. The company has also undertaken operational restructuring, resulting in cost savings from $14.3 million in the fourth quarter of 2022 to $10.8 million in the same period of 2023, extending its financial runway.

In a significant leadership change, Todd R. Nelson, Ph.D., will transition from CEO to a board-only role, with Eric Esser, the company's President and COO, taking over as CEO and joining the board of directors. This change comes as the company looks to harness the potential of its synthesis solutions to enhance customer discovery workflows and increase shareholder value.

Telesis Bio, known for the Gibson Assembly method and its automated benchtop DNA and mRNA synthesis systems, aims to empower scientists in fields such as precision medicine, biologics drug discovery, and vaccine and therapeutic development.

This article is based on a press release statement from Telesis Bio.

InvestingPro Insights

In light of Telesis Bio Inc.'s strategic shift and operational updates, financial metrics and market sentiment can offer additional context for investors. The company's market capitalization stands at a modest $11.44 million, reflecting a challenging environment for smaller biotech firms. The Price / Book ratio, as of the last twelve months ending Q4 2023, is at a high 48.06, which might raise concerns about valuation among investors, especially considering the company's non-profitable status over the past year.

With recent operational changes aimed at cost savings and the prioritization of its Gibson SOLA platform and BioXp system, Telesis Bio's focus is clearly on enhancing its product offerings. However, the financial data indicates that the company is quickly burning through cash, which is a critical factor for investors to watch. Additionally, the stock's performance has been volatile, with a significant decline over the past year, marked by an 87.25% drop in its one-year total return as of early 2024.

For those interested in a deeper dive into Telesis Bio's financial health and stock performance, InvestingPro offers a range of additional insights. There are currently 12 more InvestingPro Tips available, which could help investors make more informed decisions. Among these, the tips highlight that the stock has taken a big hit over the last six months, and analysts do not anticipate the company will be profitable this year. To access these insights, investors can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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