Sign Up NowThis Month's Tiny Gems - July 2012

A123 Systems, Inc. (AONE)
Avita Medical Ltd. (AVMXY)
Chanticleer Holdings, Inc. (HOTR)
Santarus, Inc. (SNTS)

 

 

 

A123 Systems, Inc. (AONE)

 

A123 Systems, Inc. (AONE) enables the development and commercialization of next-generation applications by delivering advanced batteries and complete energy storage systems. Leveraging breakthrough technology, robust systems integration capabilities, and demonstrated products in the field, the company helps transform innovative concepts into market-ready solutions.

 

A123's proprietary Nanophosphate technology is built on novel nanoscale materials initially developed at the Massachusetts Institute of Technology. The game-changing technology delivers high power and energy density, long life, and excellent safety performance, enabling customers to introduce new products for the transportation, electric grid, commercial, and government markets.

 

With a planned investment of more than $1 billion dedicated to capacity expansion, A123 Systems is committed to continuing the development of its scalable manufacturing model. The company utilizes more than 1 million square feet of manufacturing facilities in Asia, Europe, and North America to mass-produce advanced battery cells and systems to meet increasing global demand.

 

In recent news, A123 Systems announced that it has signed a distribution and supply agreement with Mid-Continent Instrument Co., a leading provider of advanced aviation battery systems. Under the agreement, True Blue Power will provide A123's lithium-ion cells, modules, and custom power solutions to the aviation community.

 

 

 

Avita Medical Ltd. (AVMXY)

 

Avita Medical Ltd. (AVMXY), based in the UK, develops and distributes regenerative products, utilizing the patient's own skin, to treat wounds, burns scars, and skin defects. The company's lead regenerative product is ReCell®, already on the market and generating revenues in Europe, Australia, and Asia. In the U.S., FDA trials are currently underway, with FDA submission expected next year.

 

The goal of Avita's products is to regrow, replace, and restore the function of tissues, organs, and limbs that have been damaged, lost, or are not working due to trauma, disease, or senescence. It's important to note that all tissues and organs, not just skin, are now believed to have the capability to regenerate under the right conditions when applying the right technologies. This represents a fundamental change to the practice of medicine.

 

ReCell® is Avita's novel Spray-On Skin® point-of-care stem-cell treatment, applicable to a wide range of wounds and dermal defects. It can be used for burns, chronic wounds, plastic, and reconstructive surgery, as well as with aesthetic/cosmetic surgery. ReCell® offers a rapid, low-cost treatment that minimizes scarring and the risk of infection, has no laboratory requirements, and can be used in combination with other techniques.

 

The company's experienced management team has a solid history of success in launching new clinical applications. Under the team of executives, Avita posted revenues of $4.54 million for the year ending June 30, 2011, with a gross profit of $3.5 million. With novel, patented regenerative medicine technology with the potential to change the paradigm of wound healing in multiple indications, the company has enormous market potential.

 

 

 

Chanticleer Holdings, Inc. (HOTR)

 

Chanticleer Holdings, Inc. (HOTR) owns and operates Hooters branded restaurants in emerging international markets. One of the most well-known restaurant brands in the world, Hooters has a menu that consists of moderately-priced American bar food and the world-famous Hooters girls. The company has ownership interests in four Hooters restaurants in South Africa, two Hooters restaurants in Australia, and has secured expansion opportunities internationally.

 

The first Hooters restaurant opened October 4, 1983, in Clearwater, Florida. Today there are more than 460 Hooters throughout the United States, with additional restaurants in 29 other countries. During its history, Hooters has continued to rank high amongst the industry's growth leaders. Changing very little from the original concept, Hooters has proven successful in small-town America, major metropolitan areas, and internationally.

 

In 2011, Chanticleer, together with a group of major private equity investors, acquired Hooters of America (HOA) and its largest franchisee Texas Wings, Inc. Today HOA is the franchisor and operator of over 450 restaurants, covering 44 states and 29 foreign countries. Chanticleer has rights to develop and operate restaurants in South Africa, Brazil, and Hungary, and the company is joint venturing with the current franchisee in Australia, while evaluating several additional opportunities.

 

Chanticleer's core growth strategy involves expanding the Hooters brand in emerging markets and other rapidly developing global economies. The rising number of middle class consumers in emerging markets is driving the demand for recognized international brands. Targeting underpenetrated international markets with proven market success, the company aims to achieve consistent, above-average growth rates and favorable financial returns for its shareholders.

 

 

 

Santarus, Inc. (SNTS)

 

Santarus, Inc. (SNTS), a specialty biopharmaceutical company, acquires, develops, and commercializes proprietary products that address the needs of patients treated by physician specialists. Currently, the company's commercial efforts are primarily focused on GLUMETZA® and CYCLOSET® tablets, which help improve glycemic control in adults with type 2 diabetes, in addition to FENOGLIDE® tablets, which help reduce high cholesterol.

 

The company also has a diverse product development pipeline. A NDA for UCERIS™ tablets for induction of remission of mild to moderate active ulcerative colitis is under review by the U.S. FDA, and a response expected in the next three months. Santarus also has two late-stage investigational drugs: RHUCIN® for treatment of acute attacks of hereditary angioedema and rifamycin SV MMX® for treatment of travelers' diarrhea, both of which are being evaluated in Phase III clinical studies. In addition, the company's investigational monoclonal antibody, SAN-300, is being evaluated in a Phase I clinical program.

 

The company recently reported total revenues increased to $45.9 million for the first quarter of 2012, compared with $22.8 million for the first quarter of 2011. Other notable improvements include a transition to profitability, with earnings reported at $0.6 million compared to a net loss of $0.5 million, and cash, cash equivalents, and short-term investments totaling $65.5 million.