RE:Iran+ deals will be a bigger market than Saudi ArabiaYou will note that Covalon's $7.6 million minimum contract of $7.6 million with the MOH for KSA was not for all of Covalon's product suite but restricted to CAPlus and CAPLUS+.
In addition to ColActive Plus, Covalon markets a full line of advanced wound management dressings for both acute and chronic wounds under its CovaWound brand.
As well, Covalon is also the only provider of a dual anti-microbial silicone adhesive technology used in its IV Clear and SurgiClear brands of infection management dressings. Both of these product lines offer superior efficacy in helping to prevent infections and medical adhesive skin injuries, while providing total insertion or incision site visibility to the health care provider.
You will also note that for IRAN ,Qatar and UAE, Covalon will be selling all of its products.
This is why the substantial KSA was a breakthrough.
With over twice the market potential as KSA and selling its entire product suite, these three deals could make the KSA deal, while substantial, look modest by comparison....with China, US and latin America all being much larger markets.
Covalon needs about $100 million in annual sales to meet its forecast market cap of $1 billion within 4 years.
My analysis for the F2017 beginning in Oct 2016 shows that Covalon could be 25 % along that revenue path, if not more..