Azzet reports on three ASX stocks with notable trading updates.
EBR Systems jumps after confirming first commercial US implants
Shares in EBR Systems (ASX: EBR) were up around 6% at the open after the Silicon Valley-based medical device company captured the market with a watershed announcement this morning.
Following recent FDA approval, the company’s WiSE System - heart pacers - has been successfully implanted in the first commercial patients in the U.S,-ahead of a wider market release in October.
The ASX mid-cap’s WiSE System is understood to be the world's only wireless, endocardial (inside the heart) pacing system in clinical use for stimulating the heart's left ventricle.
Given that the novel cardiac implant is only the size of a large grain of rice, the need for a pacing wire on the outside of the heart's left ventricle is potentially eliminated.
The company advised that the first procedures – which took place at St. David's Medical Centre and the Cleveland Clinic – are two of several leading U.S. institutions that are participating in the pilot release of the WiSE CRT System.
Management notes that these cases are representative of two previously untreatable and high-risk indications.
“This further supports our US$3.6bn Total Available Market estimate as these are key elements of that projected market,” the company said.
Commenting on today’s update CEO John McCutcheon told the market that treating the company’s first commercial patient was a powerful moment.
“We can now offer a leadless left ventricular endocardial pacing (LVEP) option for patients who were either unable to receive left ventricular pacing or whose prior therapies failed,” he said.
To help commercialise its wireless cardiac pacemaker, the company recently raised $56 million - the maximum it can raise without requiring shareholder approval.
EBR Systems was founded in 2003 and has been developing a wireless cardiac pacing system, dubbed WiSE CRT, which was granted FDA approval on 14 April.
EBR Systems has a market cap of $495 million; the share price is up 3.5% over one year and up 12% year to date.
The stock’s shares appear to be in a near-term downtrend confirmed by its 20-day moving average.
Consensus is Strong Buy.
The stock is currently trading at $1.155.
Ora Banda falls following guidance update
Shares in Ora Banda Mining (ASX: ORA) were down around 10% at the open after the large cap gold miner guided to lower than expected full-year gold production.
Due to extended downtime at its Davyhurst project, the miner has lowered its FY25 production guidance to 95koz, approximately 5% below its prior lower-end estimate of 100koz.
All-in sustaining costs (AISC) are now forecast at $2,600/oz, above the previous upper guidance.
April and May output totalled 12.1koz, with June expected to reach 12.5koz as plant throughput stabilises at 4,000 tonnes per day.
However, despite recent operational delays due to mill upgrades, FY25 production still marks a 35% increase on FY24 output.
With upgrades now complete, management told the market that the plant is now fully operational, and mining performance is strong, with increased ore stockpiles.
In June alone, Riverina is forecast to contribute 8,500 ounces and Sand King 6,000 ounces, totalling an estimated 14,500 ounces as both pits advance.
Stockpiles at the end of May increased significantly due to the slower mill throughput, reaching 83,000 tonnes at 2.8 grams per tonne for 7,500 ounces of medium-grade ore and 114,000 tonnes at 1.2 grams per tonne for 4,400 ounces of low-grade ore.
During its March quarterly update the miner reported closing cash of $80.7 million, a $22.9 million increase from the prior quarter.
Ora Banda Mining has a market cap of $2.1 billion; the share price is up 246% in one year and up 78% year to date.
The stock appears to be in a long-term uptrend as confirmed by multiple indicators.
Consensus is Moderate Buy.
Coronado Global continues rallying after funding lifeline update
Shares in Coronado Global Resources (ASX: CRN) were up a further 13% at the open after rallying by a similar amount following yesterday’s announced balance sheet strengthening funding deal.
In response to media speculation management told the market yesterday that it had entered into a binding commitment for a $150 million asset-based lending facility with Oaktree Capital Management.
Coronado’s CFO Barrie Van der Merwe told the market that entering into this transaction with Oaktree is an important first step to stabilising and strengthening its financial position.
“It reflects a clear confidence from a credible lender in the underlying value of our asset base and business fundamentals,” he said.
It’s understood that the deal will see Coronado draw $75 million up front, with the remainder being drawn down in minimum $25 million increments for a further 12 months.
Yesterday’s funding update follows the Qld’s government’s decision to reject a deal to get $150 million up front to provide thermal coal in return for an extended supply agreement beyond the Brisbane Olympics in 2032.
Coronado has US$194.9 million of net debt, including a US$400 million bond with a 9.25% interest rate and first rights to take its mine if its mines collapse.
There’s market speculation that Sev.en had bought over US$40 million of Coronado’s debt. While the Czech group has denied the deal, such a move would be seen as a potential prelude to a takeover.
Coronado Global Resources' market cap is $305 million; the share price is down 85% in one year and 76% year to date.
The stock is down over 90% from its five year high of $2.34 in April 2022 when the coal price was over US$200/tonne.
The stock is currently trading at $0.183.
Coronado’s shares appear to be in a long-term bearish trend confirmed by multiple indicators.
Consensus is Hold.
This article does not constitute financial or product advice. You should consider independent advice before making financial decisions.
