TRENDLINES GROUP: 44% share price fall is excessive, “not for any reason relating to business activities"

Trendlines, which is an early-stage investor in companies in the medical and agricultural life sciences sectors, listed on the Singapore Exchange at 33 cents on 26 November, and ended at 18.6 cents yesterday. 

The 44% fall looks excessive compared to the market's benchmark index decline of 8%. 

In addition, Trendlines' price-to-NTA ratio has now reached 0.79 compared to 1.4 at the time of its IPO.

According to Bloomberg, the average price-to-book ratio of seven selected peer companies (Allied Minds, IP Group and CK Life Sciences) is 2.84 as of Jan 14, 2016.


Todd Dollinger, Co-Chairman and Co-CEO of Trendlines Group. File photo.Recent developments:

» Dec 15, 2015: Trendlines Medical received formal notice of the renewal of its incubator franchise for a period of eight years from January 1, 2016 to December 31, 2023, from the Office of the Chief Scientist of the Israel Ministry of Economy.

» Dec 7, 2015: Trendlines announced that it has established two new portfolio companies, namely Tandem Technologies and Zeev Implants, and the number of Trendlines’ portfolio companies has increased to 47.

Tandem Technologies is in the business of developing a unique device for more efficient removal and retrieval of polyps in the colon, while Zeev Implants is in the business of developing a modular dental implant.

» Dec 9, 2015: The Trendlines Group and Saviva Capital LLC signed a binding MOU to jointly submit an application through Israel’s Office of the Chief Scientist for the Trendlines Agtech technology incubator license.

Under the MOU, Saviva is to invest $9.2 million (ie, $4.2 million over 10 years in the incubator, and $5 million as direct investments in its technology start-ups in agriculture and food). 

In another development, a portfolio company of Trendlines -- medical device company ET View Medical. (TASE: ETVW) -- has attracted the interest of a possible acquirer. ET View announced on 7 Jan 2016: "A multinational medical equipment company recently expressed interest, and asked for information about the company for the purpose of assessing a possible acquisition of the company or its business. Confidentiality agreements were subsequently signed, and specific information was provided."


For more information, see Trendlines' Powerpoint presentation which was uploaded to the SGX website on 13 Jan 2016.

Steve Rhodes, Co-Chairman and Co-CEO of Trendlines, looks forward to meeting investors next Thursday to share insights into the company's business. If you are keen to attend, please see details below: