Coronavirus test boosts Novacyt

AIM-listed biotechnology outfit Novacyt (LON:NYCT) saw its share price climb by 8.47% to 116.60p (as of 11:45 GMT) after it updated the market regarding a novel test for coronavirus developed by its molecular diagnostics division. The company said that it had invested to significantly increase marketing capacity. Currently the test is only approved for research purposes, but it has recorded sales equivalent to roughly five months normal trading and the company is in talks with a number of regulatory bodies.

CEO Graham Mullis commented: “We believe the commercial demand for and interest in our COVID-19 test could continue for several months as the virus continues to spread from country to country. We are therefore ensuring we are fully prepared to meet the increasing demand for the product, as we continue to position Novacyt to support the global response to monitor and contain the COVID-19 outbreak . The sale of our COVID-19 test has already generated significant revenue for the Company, which we expect to continue given the increasing demand for the test.

“In addition, we believe interest in our COVID-19 test will have a positive, long-term impact on Novacyt as new customers look to purchase our broader product range. We are already seeing an increased demand for our B2B capabilities as customers look to utilise our molecular design and development capabilities.

“We will continue to update shareholders regularly with the Company’s progress, but we also ask shareholders to be patient as we try to respond to an ever-changing situation“.