Amoéba: share price rises after strategic shift

(CercleFinance.com) - On Monday, industrial biotech Amoéba announced a revision of its growth strategy, following the recent implementation of a new governance structure.


The company, which specializes in the treatment of microbiological risk, explains that it wants to shorten the time it takes to generate positive operating cash flow.

As a result, it plans to focus on product development and on markets offering the best prospects for profitability and faster time-to-market.

With the emphasis on high-margin rather than high-volume activities, the company plans to meet its short- and medium-term production needs by expanding production capacity at Chassieu, the company's current headquarters.

Construction of the Cavaillon plant, for which financing has not yet been finalized, will be put on hold until sales from Chassieu, near Lyon, generate sufficient operating cash flow.

These announcements were welcomed on Monday morning by the Paris Bourse, where the share price soared by almost 17%.

For the record, the Group has received marketing authorization in the USA for a biocontrol agent for the treatment of plants in agriculture, as well as for a biological biocide that can be used in closed cooling systems.

Last month, Amoéba appointed Benoit Villers, former Chief Commercial Officer of the Barry Callebaut Group and founder of Nice & Green, the company's largest shareholder with a 29.4% stake, as Chairman of the Board of Directors.

The Board also appointed Jean-François Doucet, previously Deputy Managing Director, as the company's Chief Executive Officer.

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