VIVXF - Avivagen Inc. (VIVXF)(VIV:CA) - Receives Approval for OxC-beta in Vietnam

Vietnam Approval. Yesterday, Avivagen announced a major milestone with the approval for use of OxC-beta in Vietnam. Vietnam represents the largest feed market in Southeast Asia, according to a report by the US Grains Council, which indicates total annual feed consumption of over 32 MMT in 2020. Additionally, the Grains Council report states that Vietnam is a strong growth market which is expected to surpass 35 MMT of feed within the next few years.Research Trials. The use of Avivagen’s product in the Vietnam feed industry is supported by the positive results of two research trials conducted specifically under Vietnamese commercial production conditions. The trials were run in collaboration with the Institute for Animal Sciences for South Vietnam and were conducted with pigs. Notably, the African Swine Flu is transforming the Vietnam swine industry from backyard farms to large modern commercial farms, which we believe will be more receptive to Avivagen's product.Improving Asian Position. OxC-beta is now approved for sale in Thailand, the Philippines, Australia, Japan, and New Zealand, as well as Vietnam. This represents four of the six largest feed markets in the region. Avivagen continues to move forward for approval in China, the largest market by far. We remain hopeful of China approval sometime this year. Each additional new market will add incremental growth for the Company in our view.Maintaining Outperform. We are maintaining our Outperform rating and US$1.00 12-month price target. Avivagen is an early-stage revenue company focused on developing and commercializing products for livestock, companion animals, and humans. We believe the Company is at an inflection point with significant sales increases just around the corner and presents a favorable risk/reward proposition. Read More >>