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BioExx Specialty Proteins Ltd BIXZF

"Bioexx Specialty Proteins Inc is engaged in the development and commercialization of processing technologies, for use in the extracting various active ingredients from organic and inorganic materials. The company's primary focus is on the production of proteins from canola and other oilseed feedstocks. Its products include Isolexx, a protein isolate for use in bakery products, meat products, vegetarian food products and meat analogues, and nutritional and protein bars, drinks, and supplements;


GREY:BIXZF - Post by User

Comment by buba1on Mar 01, 2012 2:41pm
263 Views
Post# 19612671

RE: Chicken or the Egg?

RE: Chicken or the Egg?

It costs more money to run the operation 24/7 without the corresponding revenue,not because they have no orders,helm has been taking delivery-12 clients intesting stages etc,but because the production volume is capped. why run 100% cost and accelerate losses when you can trim and run at the level you can maximally produce. 2 days a week gets them the number they want for now,as Capex availiable they will add shifts and bodies. Its great to preserve the cash and allow for more runway to work out a JV.

Bottom line:

If not fully scaled up in a fully defined profit based platform and cannot ever be fully scaled up without full isolexx and full Vitalexx integration (65-MM new capex principally Vitalexx) then why keep burning the cash. You have proven the process works,it is scalable GEA reputation on the line,90+% product.

go find a partner that will move product from production line straight to a retail product,those become fat margins.

Nestle" Bars,shakes and clinical nutrition anyone.

 

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