SAN DIEGO - Cibus, Inc. (NASDAQ:CBUS), an agricultural technology company, has obtained additional patents for its plant trait and gene editing technologies. Over the past six months, the company has broadened its intellectual property rights, covering ten different gene editing and trait families. This expansion includes patents related to productivity and quality traits in crops such as canola, rice, wheat, and alfalfa, across various global regions including Europe, Asia, Latin America, Canada, and the United States.
The newly issued patents reinforce Cibus's portfolio in key areas such as Pod Shatter Reduction (PSR) in canola, Herbicide Tolerances (HTs), High Fiber Wheat, and Improved Quality Alfalfa. These advancements utilize the company's proprietary Rapid Trait Development System (RTDS®), which features technologies like Gene Repair Oligonucleotides (GRON) and Transcription activator-like effector nuclease (TALEN).
Dr. Greg Gocal, Co-Founder and Chief Scientific Officer at Cibus, stated that the development and recognition of the company's intellectual property are central to their strategy, emphasizing the ability to edit complex traits across multiple crops. Dr. Noel Sauer, Senior Vice President of Research, highlighted the role of the technology team in supporting commercial advancement by protecting the company's gene editing and plant trait intellectual property.
Cibus collaborates with seed companies, offering its gene editing expertise in exchange for royalties on seed sales. The company's pipeline includes traits for Pod Shatter Reduction and weed management, which are in commercial development, as well as other traits in advanced trial stages.
In other recent news, Cibus Inc. announced a registered direct offering of its Class A Common Stock and accompanying warrants, with an expectation to raise gross proceeds of approximately $13 million. The sale involves institutional, strategic, and existing investors. The net proceeds from the offering are intended for the development of new and existing seed traits, support of the Trait Machine operations, and general corporate purposes.
In addition to this, Cibus has reported its Q1 2024 financial results, indicating a strategic shift from research and development to commercial operations. The company has $24.5 million in cash and is planning to raise additional capital to ensure its operations can continue into Q3 2024. The company is optimistic about the launch of its soybean platform and the commercialization of its advanced traits. However, the company's cash runway is limited, necessitating additional capital raising in the near term. Despite these challenges, Cibus has made significant progress in gene editing, focusing on traits that provide economic benefits to farmers.
InvestingPro Insights
As Cibus, Inc. (NASDAQ:CBUS) continues to expand its gene editing and plant trait technology patents, the company's financial metrics paint a complex picture. According to real-time data from InvestingPro, Cibus's market capitalization stands at a modest 234.5 million USD. Despite significant revenue growth over the last twelve months as of Q1 2024, with an astonishing increase of 1289.22%, the company's P/E ratio is currently at -0.8, reflecting market skepticism about its near-term profitability. Additionally, the company's stock price has been subject to considerable volatility, which is evident from its price movements over the last six months, showing a sharp decline of 55.0%.
InvestingPro Tips suggest that the stock is currently trading in oversold territory, based on its RSI levels, which could indicate a potential rebound in the future. Moreover, the company has been flagged for quickly burning through cash, which is a critical factor for investors to consider, especially given that analysts do not anticipate the company will be profitable this year. With the stock trading near its 52-week low and a high revenue valuation multiple, investors may want to exercise caution.
For those interested in a deeper dive into Cibus's financials and stock performance, InvestingPro offers additional insights, with a total of 12 InvestingPro Tips available for CBUS. To access these tips and gain a more comprehensive understanding of the company's financial health and market position, visit: https://www.investing.com/pro/CBUS. Don't forget to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, which can provide valuable guidance in these volatile market conditions.
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