Insights

Universal Biosensors (ASX:UBI) share price is lifting today. Here’s why

The Universal Biosensors share price is rising today after the company signed a Canadian distribution agreement for its wine testing platform.
The post Universal Biosensors (ASX:UBI) share price is lifting today. Here’s why appeared first on The Motley Fool Australia. –

A cork and bubbles burst from champagne bottle, indicating a rising share price in ASX wine companies

The Universal Biosensors, Inc (ASX: UBI) share price is rising today after the company signed a Canadian distribution agreement for its wine testing platform.

At the time of writing, the Universal Biosensors share price is up 1.96% trading at 52 cents.

The deal represents an interesting step towards diversified commercialisation for Universal Biosensors. The company is primarily a medical diagnostics company, focused on the research, development, and manufacture of in-vitro diagnostic test devices for consumer and professional point-of-care use.

The company produces technology that tests blood glucose levels, which has enabled it to expand into the viticulture market through its new wine testing platform, Sentia.

Sentia can accurately test the levels of glucose, fructose, malic acid and other monosaccharide carbohydrates in wine, which is already proving appealing for international winemakers.

Universal Biosensors meets Vine to Vintages

Universal Biosensors announced today it has entered into a nonexclusive distribution agreement with Canadian company Vines to Vintages Inc for the distribution of its wine testing platform device.

The agreement is for a three-year term and contains standard renewal and termination options available to both parties. The Canadian distribution agreement arrives two months after Universal Biosensors signed a US distribution deal with Enartis, with more than 7,000 potential customers.

The company outlined to shareholders in its ‘Future of UBI’ report in February that it planned to “move away from defining ourselves as an R&D company with long lead times and expensive research programs”. Since then, the Universal Biosensors share price has risen by more than 10 cents.

What did management say?

Universal Biosensors CEO John Sharman welcomed the deal, saying:

The launch of Sentia into Canada is another positive step in the commercialisation of Sentia globally. Vines to Vintages is well represented in all of Canada’s wine regions and has access to 700 wineries.

The deal includes an initial commitment to purchase Sentia devices and strips which will be delivered over the course of the next few weeks.

Mr Sharman said the possibility of Sentia’s future testing capability for glucose, fructose, malic acid and others would add “significant value” to the winemaking industry.

We are negotiating terms with a number of key industry players around the world and look forward to reporting additional distribution partnerships in due course.

Universal Biosensors share price snapshot

The Universal Biosensors share price has increased more than 245% in the past year. It’s up 28% this month, 19% this calendar year and 250% against the broader healthcare sector, although healthcare is hardly a sector Universal Biosensors is limited to anymore.

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 Lucas Radbourne-Pugh 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 is lifting today. Here’s why 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!