Veterinary healthcare company Zomedica Corp (NYSEAMERICAN:ZOM) is best known for offering therapeutic and diagnostic products that are meant for pets. Yesterday, the company was in the news after it made a major new announcement but it did not elicit a positive reaction from investors and the Zomedica stock went down by as much as 6%.
On Thursday, ZOM stock fell 5.85% to $0.2222 with more than 52.12 million shares, compared to its average volume of 18.15 million shares. The stock moved within a range of $0.2200 – 0.2499 after opening trading at $0.2474.
Zomedica Enters Into Strategic Investment and Potential Collaboration for VetGuardian Monitoring Product Line
The company announced yesterday that it had completed the purchase of convertible notes worth as much as $1 million from Structured Monitoring Products Inc. Structured Monitoring Products is best known for having developed VetGuardian, a wireless pet monitoring remote platform.
However, that is not all. In addition to that convertible note worth $1 million, Zomedica also picked up an option by way of which it could acquire the entire VetGuardian product line that is concerned with the Animal Health segment.
It has been noted that the VetGuardian can bring about an improvement in the sort of care that is provided to pets when they are in the middle of recovery from surgery. The Vice President of Business Development at Zomedica, Greg Blair, noted that everyone at the company was excited about the investment in Structured Monitoring Products.
“We are excited to announce this investment and potential collaboration with SMP,” said Greg Blair, VP of Business Development for Zomedica, who will become a member of SMP’s Board of Directors according to the terms of the agreement. “This investment is part of Zomedica’s ongoing commitment to working with partners across the veterinary industry in flexible ways to bring innovative products that provide clinical value to market. This investment will enable SMP to accelerate the development and commercialization of VetGuardian.”
ZOM stock is trading below the 20-Day and 50-Day Moving averages of $0.24 and $0.28 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.40.