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Coronavirus fuels demand for Ovation Science sanitiser

Health Care
TSX:OVAT
12 March 2020 12:24 (EDT)

Pharmaceutical company Ovation Science (CSE:OVAT) has reported a significant increase of worldwide interest in its DermSafe hand sanitiser lotion.

Ovation has attributed the spike in demand to growing fears about the coronavirus, which continues to spread around the world.

Just two weeks ago, Ovation announced its first international shipment of DermSafe, which sent 25,000 bottles of it to China. Since then, the company has also shipped thousands of bottles to the UK and received multiple orders from Canada.

As the coronavirus outbreak has spread further across the globe, fear of infection has fuelled the demand for DermSafe. Ovation has reportedly received requests to quote delivery from up to 1 million bottles.

Monday March 9, now dubbed “Black Monday”, was one of the worst stock market crashes since the 2008 Financial Crisis. 

Many industries, especially the oil and gas industries, suffered huge losses because of the outbreak. The oil trade war between Russia and Saudi Arabia was also a factor.

Many pharmaceutical companies, however, have seen an increase in revenue as demand for their infection deterrents have skyrocketed. 

Ovation expects that demand will continue, especially after the World Health Organisation declared the coronavirus a worldwide pandemic yesterday. 

Ovation President, Terry Howlett, described the company’s response to the outbreak and its resulting impacts.

“We are glad that we were able to manufacture and deliver these additional orders of DermSafe. We expect more orders shortly, with interest from China, and other infected countries including Japan, South Korea, Singapore, and Italy.

“Ovation has ordered large inventories of ingredients and packaging material to manufacture DermSafe, so we can respond quickly to this growing pandemic,” he said.

Ovation Science (OVAT) is up 1.30 per cent, and is currently trading for $0.39 per share at 11:32am EST.

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