Insights

Universal Biosensors (ASX:UBI) share price falls despite positive update

The Universal Biosensors (ASX: UBI) share price is in negative territory today despite a positive update. We take a closer look.
The post Universal Biosensors (ASX:UBI) share price falls despite positive update appeared first on The Motley Fool Australia. –

falling asx share price represented by woman making sad face

The Universal Biosensors Inc (ASX: UBI) share price has spent the day in negative territory today despite the company announcing a new distribution deal.

During the early afternoon trade, the medical diagnostics company’s shares are swapping hands for 69 cents, down 1.4%. In comparison, the All Ordinaries Index (ASX: XAO) is sitting at 7,350 points, up 0.4%.

What did Universal Biosensors announce?

In today’s statement, Universal Biosensors advised it has entered into an exclusive distribution agreement with Grapeworks NZ Limited.

The arrangement will see Universal Biosensors supply its wine testing platform device, Sentia for the New Zealand market. The deal will last for 5 years, provided initial and minimum annual purchase volumes are met. Furthermore, the contract will be subject to the usual customary conditions with attached renewal options available to both parties.

The latest agreement follows the company’s progress in delivering its Sentia products across global markets since March 2021.

During the last couple of months, Universal Biosensors has secured distribution deals in Australia, the United States, New Zealand, Canada, Chile and South Africa. This has provided the company with access to over 14,000 wineries, reflecting strong demand for its product.

What did management say?

Universal Biosensors CEO John Sharman welcomed the outcome, saying:

Grapeworks is UBI’s exclusive distribution partner for Sentia in Australia, so for them to extend our agreement to cover New Zealand’s 500+ wineries demonstrate a strong financial commitment and belief in the future success of Sentia.

Grapeworks NZ managing director Malcolm Wilson went on to add:

Sentia has been well received by our Australian customers. We have been doing our due diligence on an expansion into New Zealand and believe that Sentia is a great product to spearhead our launch.

Universal Biosensors share price review

The Universal Biosensors share price has performed considerably well, gaining close to 240% over the past year. The company’s shares recently reached a multi-year high of 84.5 cents earlier this month.

Based on the current share price, Universal Biosensors commands a market capitalisation of $119 million, with 177 million shares outstanding.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of February 15th 2021

More reading

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Universal Biosensors (ASX:UBI) share price falls despite positive update appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!