ZEN Graphene’s Greg Fenton discusses Health Canada’s approval of the ‘gold standard’ for face masks

In a recent InvestorIntel interview, Tracy Weslosky spoke with Greg Fenton, CEO and Director of ZEN Graphene Solutions Ltd. (TSXV: ZEN) about Health Canada’a approval this week of the ZENGuard™ disposable face mask with the company’s biocidal coating.

In this InvestorIntel interview, which may also be viewed on YouTube (click here to subscribe to the InvestorIntel Channel), Greg said that the graphene based ZENGuard™ coating on a mask kills airborne pathogens like bacteria, fungi and viruses. Explaining why it is the ‘gold standard’ for face masks, Greg discusses how as a result of the review, Health Canada has validated that ZENGuard™-enhanced surgical masks are safe for use by Canadians.

Responding to the questions on the technology associated with the ZENGuard™ masks, Greg provides insight into the impact of this approval and what this means for ZEN Graphene. This includes the application of their biocidal coating in other spaces such as the HVAC market.

To watch the full interview, click here.

About ZEN Graphene Solutions Ltd.

ZEN is a nanotechnology company developing and commercializing next-gen healthcare solutions in the areas of disease prevention, detection and treatment. ZEN is currently focused on commercializing ZENGuardTM, a patent-pending coating with 99% effective antimicrobial activity against COVID-19, and the potential to use similar compounds as pharmaceutical products against many other infectious diseases. The company also has an exclusive agreement to be the global commercializing partner for a newly developed, highly scalable, aptamer-based rapid pathogen detection technology.

To learn more about ZEN Graphene Solutions Ltd., click here

Disclaimer: ZEN Graphene Solutions Ltd. is an advertorial member of InvestorIntel Corp.

This interview, which was produced by InvestorIntel Corp. (IIC) does not contain, nor does it purport to contain, a summary of all the material information concerning the “Company” being interviewed. IIC offers no representations or warranties that any of the information contained in this interview is accurate or complete.

This presentation may contain“forward-looking statements” within the meaning of applicable Canadian securities legislation. Forward-looking statements are based on the opinions and assumptions of management of the Company as of the date made. They are inherently susceptible to uncertainty and other factors that could cause actual events/results to differ materially from these forward-looking statements. Additional risks and uncertainties, including those that the Company does not know about now or that it currently deems immaterial, may also adversely affect the Company’s business or any investment therein.

Any projections given are principally intended for use as objectives and are not intended, and should not be taken,  as assurances that the projected results will be obtained by the Company. The assumptions used may not prove to be accurate and a potential decline in the Company’s financial condition or results of operations may negatively impact the value of its securities. Prospective investors are urged to review the Company’s profile on Sedar.com and to carry out independent investigations in order to determine their interest in investing in the Company.

If you have any questions surrounding the content of this interview, please email info@investorintel.com.

ZEN Graphene proves product superiority of face masks and investors respond.

Despite a recent setback in perception ZEN Graphene Solutions Ltd. (TSXV: ZEN) continues to power ahead with the stock up an impressive 30% in the last two weeks. Readers may recall a Health Canada announcement on April 2nd announcing a warning about face masks containing graphene or biomass graphene. This was a perfect springboard for ZEN Graphene to differentiate themselves from the competition and prove the superiority of their product. Health Canada warned, “There is a potential that wearers could inhale graphene particles from some masks, which may pose health risks.” Not surprisingly, ZEN’s stock price gapped down in trading that day on above average volume as investors threw the proverbial baby out with the bath water.

Investors (with a reasonable level of risk tolerance) who’ve done their homework on ZEN Graphene would have recognized this as a buying opportunity. Why? Not all graphene face masks are created equal. ZEN actually came out in support of the Health Canada measure, stating it is aligned and supportive of the steps taken to regulate the use of graphene and remove products that are unsafe for the public. Their confidence is based on the fact that Nucro-Technics (a world-renowned testing facility) has performed extensive testing for cytotoxicity, irritation and skin sensitization and shown that ZEN’s product is safe. As well, the company’s partner in the face masks, Trebor Rx Corp., has also completed considerable testing on the masks and has successfully passed Canadian requirements as a level 1 Medical Device for ASTM Level 1, 2 and recently, level 3, the highest level for surgical masks. Finally, additional information requested by Health Canada following the April 2 advisory has been submitted by ZEN and Trebor and it is expected the current review will be concluded in an expedited manner.

During this whole process, the company was still able to complete an oversubscribed private placement that started at $2 million and ultimately raised $4.3 million. It would appear at least some investors aren’t overly concerned about the Health Canada warning. So if readers are now reasonably confident that the Health Canada warning is in the rear view mirror and unlikely to negatively impact ZEN Graphene, then why would you as an investor want to dig deeper into being a ZEN Graphene shareholder?

Results and upside of course. On March 29th InvestorIntel’s Matthew Bohlsen wrote about the successful testing of ZEN’s graphene compound against antimicrobial-resistant bacteria (including SARS-CoV-2) as well as the above noted cytotoxicity tests and Health Canada mask approval. He also addressed ZEN’s plans to expand current capacity to supply the demand from Trebor Rx from 4 million coated disposable masks per month to 32 million per month by June and further to 800 million masks per month by November. That is actual demand today that the company has realistic plans to achieve. If that isn’t upside enough, then all you have to do is look at the product pipeline which includes exam and single-use gloves, as well as the air filtration market.

I can bombard you with plenty of large numbers here that paint a picture of incredible upside but I’ll simply highlight a few key points and let you do your own homework. First off, all the products in the current pipeline are disposable, mostly single use. Second, Covid-19 has brought attention to the whole PPE market but for the products ZEN Graphene is looking to provide, demand won’t go away once the virus has been brought under control (whatever that looks like). Lastly, the large numbers are very large for global PPE like masks and gloves.

However, the proof is ultimately in the bottom line. The company has set out a plan to start generating revenue (of which it had none as at Dec 31, 2020) and reasonable, timely growth plans. They currently have over $5 million of cash and current burn rate of roughly $2 million per quarter depending on the incremental costs to build out mask production capacity. It’s hard to compete with the support and confidence shown by the team at ZEN Graphene during the Health Canada issues. If their product is really that good it should start to show up on the bottom line sooner than later.