Plandai Could Revolutionize Malaria Treatment

Investment and Company Research
Opportunity Research
MICROCAP HOT TOPICS

May 31, 2013

Plandai Could Revolutionize Malaria Treatment

Since the overwhelming majority of cases of malaria occur in economically poor, tropical and subtropical regions of the world, most Americans are wholly unaware of the severity of the disease and its reach. Given that the Centers for Disease Control (CDC) estimates that the direct costs of treating malaria is $12 billion annually, the potentially low-cost and highly efficacious Plandai Biotechnology Inc. (OTCQB – PLPL - $0.51 – Spec Buy) treatment under development could become a de facto standard in key markets such as the African Continent.

According to the CDC’s website, malaria is one of the most severe public health problems worldwide and is a leading cause of death and disease in many developing countries, with young children and pregnant women the most affected.  A frightening 3.3 billion people live in areas at risk of malaria transmission in 106 countries and territories. In 2010, malaria caused an estimated 216 million clinical episodes, and 655,000 deaths, with an estimated 91% of those deaths occurring in the African Region.

Plandai has made great strides toward treating and preventing malaria. In a recent study, the Company's Phytofare™ Catechin Extract proved effective in killing the malaria parasite, plasmodium falciparum. In the study, the single and most dominant catechin - Epigallocatechin Gallate (EGCG) - was isolated from Plandai's Phytofare™ extract and its effectiveness compared in killing the P. falciparum parasite against a purified EGCG extract. The results, which are expected to be published soon, showed that the Phytofare™ extract killed the parasite and with a lower dosage than the purified EGCG extract.

This study involving Phytofare™ is the first to show the effectiveness of using a commercial botanical extract, rather than purified extract of EGCG catechin, as an anti-malarial.  

These results validate the Company’s decade-long research into the opportunity for using botanical extracts as a means to combat one of the world's great plagues.  Plandai is finalizing agreements to undertake further in vitro and animal studies to further validate the antimalarial drug target through greater synergistic activity of the complete Phytofare™ catechin complex containing the total eight catechins, rather than the single isolated Epigallocatechin Gallate (EGCG).  Pending a successful outcome, the company plans to immediately seek FDA approval to commence human clinical trials in 2014.

If the Company is successful in developing a treatment or preventive vehicle for malaria, it could be a very profitable game-changer for the Company given its South Africa plantation and botanical-based therapeutic and go a long way toward cost-effectively eliminating one of the world’s most severe health issues.

For more information, refer to our previous PLPL Reports, Updates and Hot Topics by visiting www.GoldmanResearch.com.

Senior Analyst: Robert Goldman
Rob Goldman has over 20 years of investment and company research experience as a senior research analyst and as a portfolio and mutual fund manager. During his tenure as a sell side analyst, Rob was a senior member of Piper Jaffray's Technology and Communications teams. Prior to joining Piper, Rob led Josephthal & Co.'s Washington-based Emerging Growth Research Group. In addition to his sell-side experience Rob served as Chief Investment Officer of a boutique investment management firm and Blue and White Investment Management, where he managed Small Cap Growth portfolios and The Blue and White Fund.

Analyst Certification
I, Robert Goldman, hereby certify that the view expressed in this research report accurately reflect my personal views about the subject securities and issuers. I also certify that no part of my compensation was, is, or will be, directly or indirectly, related to the recommendations or views expressed in this research report. 

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