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long term investing in tissue regenix : UKInvesting

Hi everyone. I am looking to invest long term and I don’t have too much money to lose, so I thought I’d research some cheap shares, but with lots of room to grow.

I found this small company – Tissue Regenix (LON:TRX)- that I think has a great future ahead (don’t they all, LOL) and my plan is to 1. buy a large number of super cheap shares today 2. hold them 15-20 years and 3. well, hopefully make some good money out of it.

So far, this below is what I discovered… perhaps you guys can be kind and help me understand whether I am delusional or perhaps I am onto something here.

Most recent trading update here.


– high volatility

– small market cap at 50M

– not listed on nasdaq (they are listed on LSE AIM (alternative investment market)

– they had a bit of a troubled 2019, couldn’t secure funding as they were trying to build capacity, then the pandemic came.

– currently unprofitable, no dividends


– a couple of proprietary technologies that could have multiple uses in regenerative medicine – orthopaedic (e.g. knee ligament reconstruction), wound care, dental etc. Demand is somewhat paused due to the pandemic, but it has never stopped. Elective surgery is merely postponed, not cancelled…

– shares currently at 0.68p (gbx)

– analyst view: undervalued, price to book ratio 1.3x compared to UK Biotechs industry average 7.4x.

– they are in capacity expansion mode, they already secured funding for what they call phase 1 expansion

– they have low debt

– revenue was flat in 2020 during the pandemic, despite the fact that all their products are designed for elective surgery.

– most of their sales are currently in the US, however they have FDA approval and (more recently) CE mark approval in the EU. they also have a joint venture with a German tissue bank, first of its kind in the region

– ownership: 53% institutional investors, 14% insiders, 14% VC firms, general public 16% or so, rest are companies and employee share schemes

– recently (May 2020) secured a white label manufacturing agreement with a top 10 global healthcare company for the launch of a new soft tissue orthopaedic product

– also recently secured distribution partners for the UK market with a specialized distributor that supplies to NHS. also secured a distribution agreement for Poland.

– very experienced management team – CEO, CFO, etc all have 20-30 years of experience in the market

– the company, even though it is small, is featured in market research reports for skin grafts – as a key player, alongside biotech giants like J&J / Depuy Synthes, Medtronic, Arthrex, Zimmer Biomet, Smith and Nephew etc.

I have not bought yet but I am very tempted to buy something like 200-300K shares which would be less than £2000 (I’m UK-based), then hold, hold, hold.

Does anyone have any thoughts on this? Perhaps have heard of this company. Please talk me out of it. Or preferably INTO it? 🙂

Thank you.

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