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July 25, 2013

Plandai: Green Tea Extracts Fight the Common Cold

According to the National Institute of Allergy and Infectious Diseases, Americans suffer from roughly 1 billion colds per year in the United States alone, which equates to more than one per person, per season. These maladies cause decreased productivity, missed work, missed school, and other headaches---literally and figuratively.  Measures to fight the symptoms range from homemade remedies to over-the-counter drugs.  There is no known cure.

Preventive measures to fight the cold during the winter months have come to the forefront as people are busier and cannot afford to take time off or potentially miss work for several days. 

A 2007 study in the Journal of the American College of Nutrition looked at the effects of green tea catechins, specifically epigallocatechin gallate (EGCG), on subjects suffering from colds and flu.  Over 32% fewer people in the green tea group experienced no cold and flu symptoms compared to the placebo group, and nearly 23% experienced less symptoms lasting fewer days.  These results come as no surprise as EGCG and green tea catechins are found to be an inhibitor of common cold adenovirus.

Leveraging these and other studies, Plandaí­ Biotechnology Inc.’s (OTCQB – PLPL $0.48 – Spec Buy) advanced products from Green Tea Extracts can be used to target this ever-present and growing market.  EGCG (Epigallocatechin Gallate) is a powerful antioxidant that can support a healthier immune system.  Moreover, Plandaí­ has spent over a decade developing its Phytofare™ Catechin Complex, a green tea-derived botanical extract which has been demonstrated to achieve superior bioavailability--the amount of a compound that is absorbed into the bloodstream.  As a result, users can reduce their consumption of extract and yet still receive tremendous health benefits from the Firm’s products. Plandaí’s Phytofare™ nutriceutical product line is set to be launched in the fourth quarter of 2013.  The product superiority will no doubt benefit top-line revenue and earnings growth especially if used as cold and flu treatment and prevention.

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.

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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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