Cellmid (ASX: CDY) shares have rocketed in trade today, moving 29.2% higher to an intra-day high of A$0.031 from an open of $0.024.
The ASX has issued a price and volume query, with 37.7 million shares traded by mid-afternoon.
Cellmid responded to the ASX, saying it is not aware of any material information that has not been disclosed to the market, which may explain the sudden investor interest.
Proactive Investors said earlier this month: “The retracement in share price from $0.028-$0.03 to $0.02 provides an opportunity for investors. We assess Cellmid to be worth closer to $0.035 on our calculations, offering substantive upside.”
Cellmid recently sealed a key midkine diagnostic deal with listed Japanese company Fujikura Kasei Co (TYO: 4620), a major supplier of latex particles used in medical diagnostics with a market cap. of ¥12.4 billion (A$130 million).
Under the terms of the option to licence agreement, Cellmid will supply its anti-midkine diagnostic antibodies for validation on Fujikura’s latex platform.
Midkine has been extensively validated as an early marker for a range of cancers and has also been shown to be useful in prognosis and disease management.
A latex based assay will be highly beneficial for the commercial launch of any midkine diagnostic product, as it is widely used and accepted in pathology laboratories. It is also preferred as it can easily be automated, reducing processing costs.
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