MARKET REPORT: Shares in prostate test firm more than double

Shares of biotech company Oxford BioDynamics (OBD) soared as the company launched its ‘highly accurate’ prostate cancer test in the UK and US.

The AIM-listed group rose 156.5%, or 16.35p, to 26.8p after announcing it had brought forward the launch of the test to coincide with Prostate Cancer Awareness Month.

It means men being screened for prostate cancer will have access to the test, which was shown earlier this year to be 94% accurate. This was much higher than the blood test used by the NHS and doctors elsewhere, which has an accuracy rate of around 55%.

OBD said the test will provide patients with an alternative to the more invasive procedures to confirm a cancer diagnosis, such as a prostate biopsy, which can carry health risks.

The announcement followed the results of a study in February that showed the prostate cancer test had “significant potential” to provide accurate and rapid results for patients and doctors. The company added that the test will be immediately available to both US and UK patients, with results initially processed through the US facility.

It said it expected to be able to process tests from its Oxford laboratory early next year, reducing wait times for results.

‘There is a clear need in everyday clinical practice for a much more accurate blood test that can screen men for prostate cancer and accurately identify those at risk, while sparing those who would hitherto be subjected to unnecessary, expensive and invasive procedures . said OBD boss Jon Burrows. “It feels completely appropriate that the early launch of the test coincides with Prostate Cancer Awareness Month.”

While investors continue to worry about the global economy and the outlook for interest rates, the broader stock market has struggled for direction. The FTSE 100 rose 0.02%, or 1.73 points, to 7625.72 and the FTSE 250 fell 0.4%, or 78.66. points, up to 18336.65.

Shares in RS Group rose 5.5%, or 39p, to 749p on speculation it has sparked takeover interest. The rise valued the FTSE 100 company, which distributes electrical products and components, at almost £3.4 billion.

Analysts at Morgan Stanley boosted Barclays by upgrading the stock from equal-weight to overweight and raising the price from 190p to 230p. Shares rose 3.9%, or 6.04p, to 159.68p.

But asset manager Close Brothers went the other way after annual profits more than halved. In the 12 months to the end of July they fell 52 per cent to £112m.

The company was hit by high provisions at troubled lender Novitas and lower revenues at trading division Winterflood. Shares lost 1.9%, or 16p, to 836.5p.

There was a much-needed breather for Ladbrokes and Coral owner Entain after a big sell-off in the previous session. After falling 13% on Monday after warning that strict online gaming rules and a string of punter-friendly football results were taking their toll, the stock rose 3.2%, or 29.4p, to 947.4p yesterday.

Hygiene and beauty group PZ Cussons, the maker of Imperial Leather and Carex, reported a 10.7% increase in annual turnover to £656.3m, but profits fell 4.2% to £61.8m. According to the report, trading since the start of the new financial year in June has been ‘in line with expectations’. Shares fell 5.1%, or 8.2p, to 151.8p.

Van rental company Redde Northgate said demand in Britain and Ireland continued to outstrip supply as it made a strong start to the financial year. The update came ahead of the Annual General Meeting of Shareholders, where more than 13 percent of investors rebelled against the remuneration. The shares added 1.5% or 5p to 339.5p.