Monday, 1 October 2012

Neptune Shows Strength after Announcement of New U.S. Patent



Neptune Technologies & Bioressources
TSX: NTB - NASDAQ: NEPT
Basic Shares: 48.2 million
Fully diluted: 53.9 million
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Almost a year after being filed, Neptune announced this morning that tomorrow the U.S. Patent & Trademark Office will officially grant the company a new patent - US 8,278,351 (Click here to view). Neptune refers to this patent as the "Continuation Patent". 

"The Continuation Patent claims the benefit of another of Neptune's U.S. Patents, No. 8,030,348 (announced last November) and contains claims to krill extracts comprising a phospholipid suitable for human consumption. These new claims cover all of Neptune's products, including the successful NKO® brand, and a number of krill oil products currently sold in the U.S. market."

According to the news release, the Continuation Patent has been achieved following re-examination requests made last November by Neptune competitor Aker Biomarine. Aker challenged all claims made in Neptune’s initial patent claiming that Neptune did not invent its phospholipids composition containing the omega-3 fatty acids EPA and DHA.

The announcement of the re-examination request last November undoubtedly left some Neptune followers feeling a level of discomfort. Today’s news release comes as a welcome relief, as the Continuation Patent strengthens Neptune position that its US Patents are sound and will withstand challenge.  

Neptune’s stock price has increased nearly 35% since its first US Patent was granted last November. As of the writing of this blog, shares of Neptune are trading just over $4 in the US.