Outlook & opportunities for ASX stocks in biotech sector

By Lelde Smits. Published at Aug 10, 2018, in Podcasts

Botanix Pharmaceuticals (ASX:BOT) Founder and Executive Director Matthew Callahan discusses Australia’s biotech sector outlook and opportunities with The Capital Network’s Executive Director Lelde Smits. Mr Callahan discusses developments and deals in the sector and highlights Australian stocks to watch including biotechnology companies Viralytics Limited (ASX:VLA) (developing oncolytic immunotherapy treatments for a range of cancers in Australia) and Oncosil Medical (ASX:OSL) (medical device company focused on interventional oncology in the pancreas).

Lelde Smits: Hello, I’m Lelde Smits for The Capital Network and joining me from Botanix Pharmaceuticals is its founder and executive director, Matthew Callahan. Matthew, welcome.

Matthew Callahan: Thank you.

Lelde Smits: Now you are an expert in the life sciences industry. When it comes to Australia, what are the trends that you are really noticing at the moment?

Matthew Callahan: So I think it is a really exciting time in biotech in Australia at the moment. Not only is there a lot of capital being invested in the industry here but we are starting to see some significant exits of ASX listed companies being acquired by international companies and Viralytics’ recent $500 million exit is a great example of that.

Lelde Smits: What other deals have perhaps been on your radar that you think are worthy of investor attention?

Matthew Callahan: So there’s a number of great Australian companies that are developing fantastic technology and rapidly developing products through the clinic. Oncosil comes to mind, is a very well supported company in this market but there’s are a number of other companies that are beginning to move beyond the early stage that Australian companies are generally known for based on great science through to development stage assets that can be transacted.

Of course these are early stage companies, so investors should seek pout professional financial advice of considering any of these biotech companies for their portfolio.

Lelde Smits: Now, when it comes to the company that you founded, Botanix Pharmaceuticals, your focus on the dermatology sector and really finding solutions for the problems that people with skin may suffer with. Where do you see that global opportunity at? What, again from an investor perspective, why should they be excited about dermatology?

Matthew Callahan: Well, dermatology is a fantastic industry. It’s about a $40 billion market worldwide and there’s been very little innovation occur in this industry over the latest 20 years. For instance, there has been no new products approved to treat acne in the last 20 years. So, there’s really good opportunities for new products to come to market that are safe, provide new solutions for patients and that’s what we are doing at Botanix. We have two programs going to phase 2 studies at the moment which makes us one of the more mature dermatology companies in the world.

Lelde Smits: So finally, Matthew, what do you believe are the most exciting areas that investors should be looking at in the life sciences industry?

Matthew Callahan: Well, I think there are a number. I mean, we are seeing fantastic strides being made in both gene therapy and immunotherapy; creating new solutions, particularly for things like intractible cancers where there have been no effective therapies. We are seeing cures of many dramatic diseases and I think this science driven approach that life sciences are now very much focused on has moved us away from the generic approach and into an exciting new area of research.

Lelde Smits: Wonderful, thank you for your insights today.

Matthew Callahan: Thank you.

The views and opinions expressed in this article are those of the interviewee and not of S3 Consortium or Maven Capital. As always, you should undertake your own due diligence with regards to these views and opinions and seek professional financial advice if considering this stock for your portfolio.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why Finfeed.com is Australia’s leading small cap publication

Founded seven years ago, Finfeed.com is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise.

Finfeed.com provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more.

Finfeed.com is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!