It’s a very rewarding trading day for investors in SenesTech (NASDAQ:SNES) with shares up over 220%, making the stock Wall Street’s bull of the day. Why the excitement? The company announced that the California Department of Pesticide Regulation (CDPR) has proposed to register ContraPest, the company’s patented fertility control product for managing rat infestations, for use in California.
This proposed action will be posted for thirty days. With approval, the Company will then be able to market and sell ContraPest throughout California, which is one of the largest state markets for pest control.
“California consistently leads the way with respect to innovative and environmentally sensitive policies, and California consumers can be the most demanding of the products they buy and use – the products must be effective, they must be as safe as possible, they must be ethical, and they must pose the least burden on the planet. These are the qualities that we are committed to and evident in our design of ContraPest. I expect this will be a great market for ContraPest, with rapid adoption, as the California consumers are always ahead of the curve,” said Dr. Loretta P. Mayer, co-Founder and CEO of SenesTech.
Roth Capital analyst Gerry Sweeney recently wrote, “SNES continues to develop the commercialization process for its ContraPest product […] The near term challenge remains educating PMPs on the value and effectiveness of ContraPest within an integrated pest management program […] We believe SNES has the foundation of its commercialization process in place […] Furthermore, sales of ContraPest are FOB Flagstaff, which means Univar and Target will likely ship the product to their distribution centers and then distribute through their network – reducing logistical challenges for SNES. The next key step is educating PMPs on the efficacy and value of ContraPest – likely in the confines of integrated pest management program. Within this area SNES needs to teach PMPs and sales people within distributors ContraPest can be effective and valuable in keeping rat populations in check while used solely or after rodenticide use. The value proposition of the use of ContraPest in long term management of rats needs to be highlighted so PMPs can integrate it into their programs.”