Bioprogress is a stock I have been in and out of quite a few times since it floated in May but not much mention here on the Investors' Room. Does anyone else follow this stock. I see it is up 1.5p today and a few good buyers seem to have appeared.

On the move now up 12% how far will this go?

Hi N,
I just sold at 58,think it may go down to 52/54 and hope to buy back in

Good luck,
Great news

What is the saying... let your profits run?

Jumpin,
Only sold on a gut feeling,
Win some loose some,
Happy with my profit,but will be very happy to buy back in if it falls to around 52

If it falls back to that I will be surprised.
I have no intention of selling mine at this level

Great, another 50% rise and i'll be level, yes i know im stupid buying near the top but have remained confident it will return. (sooner or later)

Coverage from today c/o GCI


BioProgress - SPECULATIVE BUY
Companies: BPRG
21/12/2005

Drug delivery systems developer BioProgress has upset many investors during its turbulent two years on AIM, but the acquisition of a French drug maker could spark a revival.

This year alone the shares have vacillated between 27.5p and 87p, collapsing after chief executive Graham Hind resigned in April. During his tenure he presided over a doubling of operating losses in the first half of this year to 6.2m. At this rate the group looked like running out of money by the middle of next year, since only 9m remained in the bank at the end of June.

However, the new management seems to be bringing things under control. Annualised costs have now been reduced to below 2m, giving the group considerable breathing space. And todays 12.5m (8.5m) acquisition of profitable French drugs manufacturer Dexo gives the group significant revenues, of 4.4m, for the first time. If things progress as planned, the group could break even next year.

Dexo specialises in bringing innovative medicines, primarily to treat gastric and nasal passage problems, to market. The business is headed by Jean-Francois Sfarti, formerly chief executive of major French pharma Sanofi. BioProgress can now test its non-gelatine and other delivery technologies on Dexos established products. The French market is known to be open to novel techniques of taking drugs and this alliance promises some intriguing developments.

The deal is funded in part by cash of 5.4m, raised from fresh institutional investors at 47p a share. Dexo will accept shares as payment for the remainder. The market has applauded the deal the shares rose 5% and with some major players in the drug world currently evaluating BioProgress technologies, the shares are worth a speculation.

Christopher Spink
Market cap: 70.8m
PE Forecast: n/a
Share price: 57.75p

from lemminginvestor tonight

"The new management has had six months to reconsider strategy and has moved quickly to remove BPRG from any pressure to settle with 'big pharma'on unattractive terms.

The acquisition of strong marketing and generic manufacturing capability gives BPRG the opportunity to keep for itself the high potential margins from this revolutionary packaging, by applying it to its own range of products. These are likely to thrive from high added value and high margins on BPRG's own products - thus replacing low level royalty streams from licensees.

Nothing could do more to raise the attractiveness of a licence from BPRG than the demonstration, however small, of its IP on a daily basis in the shops, surgeries, and hospitals, taking market share from big pharma."

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

This is a great strategic move which took some reading carefully for it all to sink in. This is not just diversification. The psychology is very clever. It will goad big pharmas to settle on better terms because it will demonstrate that BPRG's new entity is immediately profitmaking and does not HAVE to licence them to survive..

As soon as some Dexo product comes onto the market the apparent IPO hype will become a description of real events, and as the advantages of X-Gel are reflected in increasing customer acceptance there will be a scramble to get licensed.

The existing 2m profit from Dexo equates to at least 30m cap (on a PE of 15)for which only 12.5m will be paid. The 17.50 (12m or so) is clearly earnings enhancing compared with the difference in cap value from the 12.285m shares @ 58p = 7.1m added from the placing. In my book that adds 7% to cap value - exactly what was delivered by the price rise today. Strangely matched.

Of course one would expect the new synergy to push Dexo's growth from the unimpressive current 5% to something more dramatic.

http://www.cambridge-news.co.uk/business/news/home.lpf

see link for press coverage

Just to make the link active Bhunt :)

Cambridge News piece

Thanks bones - I aint that clever

B

How far can it go guys, will/can i get my money back. 50% down at the moment.

Kivver - I am a convert - with the latest RNS - I beleive that this company now has the products, the management team and the ability now to start delivering.

I am no financial analyst - but hype took it up to 160, now that they seem to have put in plaace the fundamentals - I think they are close to breaking out and starting to make real progress.

I have found the ADVFN BB really useful as they seem to have a few guys there who really understand the company and the market. There are an awful lot of foul mouthed idiots on there as well, many with a grudge against SEO - which is unfortunate - but its research is better - for this stock - than MAM

baza

Cheers Baza, hope you're right. Hope to get my money back and then some. In for the long term. Keep it up the good work bio, making great progress!

Huge selling in BPRG today...is there any bad news?

where do you get the information that there is HUGE selling. There are only half a million shares that have been traded so far.

Rubbish, no huge selling at all. not even half a million pounds worth traded.

Price is driftinng on no news. I suspect a bit of positioning by MM's trying to get stock also.

Baza

from lemming investor.com

Buoyancy
the sharp effect on share price of recovery from a
reversible situation from accident, outside events,
or uncovering a rogue executive

Multi-baggers
The 'buoyancy effect' in a recovery is a much stronger upward driver of the
share price than good results in a stable and well managed company where
the visible future is already in the price.

A share price, which has fallen by 95% (it happens) and acquires 'dog status'
as the result of a reversible condition, has the potential of an eighteen
bagger- if and when the original status can be restored. It is rare to see share
price improvement of this size from a profitable and stable company because
future growth is usually closely monitored and already built into the market
price. That is why we are particularly keen at Lemming Investor to find 'dogs'
arising from reversible situations, which good management can restore to their
original level of performance and respect.

It is common knowledge that the market exaggerates the effect of good and
bad news. The 'dog' reputation is difficult to remove. It hangs on much longer
than the actual effect of the original fault or misadventure. So where a 'dog'
company retains high sales momentum, IP, know how, or other intangible or
tangible assets, the share price eventually offers a very cheap way in, long
after most of the downside risk has cleared..

A high level of sales can always be turned into an acceptable profit by cutting
overheads; and large assets can usually be 're-sweated' (to coin a word) to
produce a conventional return. Once the burned down buildings have been
restored, or the crooked FD sacked and replaced, or the price of spiked up
raw materials returns to average, the high sales level or the undamaged asset
can be brought back to normal yields and the share price eventually returns to
the status ante quo. In the process it becomes a multi-bagger.

We have seen this with Ashtead (AHT), and a few years ago at Powerscreen.
In both cases a senior executive had been falsifying the books in a subsidiary
without affecting sales or earning power, and these quickly regenerated profits
after the miscreant was fired.

Emerald Energy, (EEN)recovering from a drilling explosion, is, with oil
reserves relatively unharmed, currently in transition from 'dog' to hero, and
therefore severely under-priced.

BioProgress, (BPRG)damaged superficially by a particular CEO now
replaced, but with IP intact, is in recovery and the share price has doubled in
ten weeks.

An accident like the factory fire at Luton which damaged ASOS, (ASC)or the
spike in world copper prices which has mopped up profits at AFC (the former
Oystertec) until the competition raises prices or the spike subsides, are clearly
reversible And so is the mis-management now cleared up at MinorPlanet
(MPS), where the dog status is still set to linger for a while.

Note that in both cases there is, or previously was, a high sales level. A
professional Marketing Director will know that it costs a few tens of millions in
cash and ten or twenty years to build 100m sales. Find a dog with that level
of production and sales,, and competent management can restore profits to
somewhere between 5 and 20m. That will lead to a market cap of 50
-300m depending on market sector. For AFC (sales 105m) or MPS ( sales
once 100m now 20m - but still the market leader) that means multi-bagging
in each case.

This could be behind some of the SP improvement. Could also give the share a little more upward momentum.

BioProgress PLC
12 January 2006


BioProgress plc ('the Company')

The Company received notification on 11 January 2006 that Fidelity International
Limited ('FIL') and its direct and indirect subsidiaries, including Fidelity
Investment Services Ltd ('FISL'), Fidelity Gestion (FIGEST), Fidelity
Investments Advisory (Korea) Limited (FIA(K)L), Fidelity Investments Management
(Hong Kong) Limited (FIMHK), Fidelity Pension Management ('FPM'), Fidelity
Investments Japan (FIJ) and Fidelity Investments International (FII), investment
managers for various non-US investment companies and institutional clients, are
together interested in a total of 8,365,072 ordinary shares of one pence each in
the Company, representing approximately 5.93 per cent. of the Company's issued
share capital.


This shareholding is registered as follows:

Shares held Management Nominee/Registered Name
Company
3,191,490 FMRCO Mellon Bank
4,376,349 FMRCO Mellon Bank
797,233 FIL Brown Bros Harrimn Ltd Lux
8,365,072 Total holding

This notifiable interest also comprises the notifiable interest of Mr Edward C.
Johnson III, a principal shareholder of Fidelity International Limited, and
interests held on behalf of authorised unit trust schemes in the United Kingdom.



This information is provided by RNS
The company news service from the London Stock Exchange