ASX Health Tech Stock Soars 1,100% - Now Eying a NASDAQ Listing

Healthcare has undergone a step-change this year that has transformed the industry forever.

At the heart of this transformation are health technology companies, which have brought about habitual changes to health and fitness monitoring that are likely to be permanent.

Along with the sector as a whole, ASX listed health-tech company MyFiziq Ltd (ASX:MYQ) has taken giant strides in 2020 to help people build long-standing healthy habits at home.

MYQ has developed a proprietary body dimensioning technology that enables its users to check, track and assess their dimensions using a smartphone, from the comfort of their home. The technology empowers users to create a representation of their body structure in the form of a 3D avatar, with accurate circumference measurements and total body fat assessment. 

Previously, this level of accurate body dimension data and monitoring could only be recorded at expensive medical or gym appointments. The app delivers 97+% accurate body measurements, with a repeatability of 98%. In addition to accuracy, the platform provides privacy as the images and data never leaves their phone. 

“Knowing your waistline tells you a lot about your risk of chronic disease, which correlates to 70% of deaths each year,” MYQ CEO Vlado Bosanac says.

“People are always judging themselves, and we give them a real-time way to assess where they are at any one point in time without the inaccuracy of the scale or human measure,” he adds. “People want to know if their hard work is paying off, we help them see if it is.”

Widescale Applications for MyFiziq’s Technology

Wisely, MYQ strategy is not to build a consumer brand in what is already a crowded market. Instead, the company is actively working with a host of partner companies who already have consumer-facing apps. These partners are impressed with the technology and can seamlessly integrate with their existing apps across various health related sectors.

MyFiziq’s technology has applications across the $672 billion health and fitness market, the $84.9 billion corporate wellness market, the $1.3 trillion apparel market, the $289 billion mobile health market and the $9.6 trillion medical and insurance market.

MYQ’s recent partnership deals include a binding agreement with The Original Fit Factory Ltd, which has a reach of approximately 60 million end users across 71 countries; a collaboration with Bearn LLC which will target over 25 million users with an app available on the Apple App Store and Google Play store; and Jayex Healthcare Limited (ASX: JHL), a UK based health communication monitoring and management technology company that could improve the efficiency and productivity of GPs in the UK.

The most significant of its recent partnerships is with Nexus-Vita Pte Ltd, a Singapore-based health monitoring and management technology company, which could be a game-changer for MYQ. The deal is set to give MYQ annual recurring revenue of US$3.58M (AU$5M).

The uptake by various industry partners is generally down to the accelerated care the MyFiziq app can provide, in that people have a personalised digital and private way to check on themselves in their day-to-day lives.

NASDAQ listing imminent

Very few companies have seen growth like MyFiziq in 2020, which, in just over six months has seen its share price rise 1100% from 12.5c to a high over A$1.50 just last month. MYQ is currently trading at 93c (30/11/2020) and the company has a market capitalisation of A$112.5M.

With significant momentum behind it, MYQ is now gearing up for a NASDAQ listing and has recently hired a lead underwriter – Ladenburg Thalmann & Co. Inc, to facilitate the listing.

A NASDAQ listing will open up a huge market segment to this health tech provider, and provide a much bigger capital market compared to the ASX, where the stock is currently listed. MYQ intends to continue trading on both markets giving it increased access to capital. 

Underlining the benefits of a NASDAQ listing in terms of MyFiziq’s US expansion initiatives, Bosanac said, “This move will bring both fresh investors and support to the company.”

Health Tech: A Growing Industry

Major 2020 healthcare trends include telehealth, wearable health sensors and trackers, AI health intelligence and personalised mobile apps. These trends are set to continue into the new year and beyond, with consumer interest expected to intensify accordingly. 

Google is planning to acquire Fitbit, as it ramps up its health ambitions. Google intends to acquire the wearables pioneer for $2.1 billion, however the acquisition is currently under regulatory review in the EU.

Alphabet, Amazon, Apple, and Microsoft are all accelerating their pursuit of the healthcare market. The standout move recently was Teladoc’s merger with Livongo Health in an $18.5 billion deal that will create a leader in consumer-centred virtual health care.

Within this rapidly developing market, MYQ is in a promising position for further growth – especially following its upcoming NASDAQ listing.