-Company produces opiates

-Significant issue with opiate addicition globally currently

-But, with no better alternative currently, TPI is helping those in pain

-Talent: company has noted it is having difficulties finding qualified and experienced talent to run the API facility (in regional Norway)

-Opiate crisis globally as people are increasingly becoming addicted to medication could cause regulatory bodies to regulate against opiate production

-Agricultural difficulties producing poppys (e.g weather) would significantly hinder supply of materials for NRM production, currently a shoratge of poppy seeds globally, indicating limited poppy supply

-Development of non opiate based pain relief (a real threat to TPI given the increasing interest in solving issues with addication)

-Share price has declined over 2018

-EBITDA negative currently

-However, if management can execute plans, will be EBITDA positive by a long way in 2019

-This will allow investment to grow the company without (hopefully) needing to acquire debt or dilute shares, representing a significant inflection point in the company

-TPI aims to increase NRM production from 40m tonnes in 2018 to 200m tonnes in 2021

-Also aims to increase API sales by 80% in 2019

-API production capacity will max out in 2019, so medium term growth will require investment to increase capacity

TPI is a vertically integrated company that manufacturers active ingredients for opioid based pain medication.

TPI purchases poppy's from farms->produces narcotic raw material (NRM)-> sells NRM to customers-> or converts NRM into active pharmaceutical ingredient (API) in TPI's facility->API is then formulated into medication by TPI

NRM and API production are the core business of TPI

-Company claims to have a technology that reduces the cost of producing NRM and as a result can offer the lowest NRM price (compared to other NRM producers) to customers.

-Only 6 NRM producers in the world

-Only producer to have supply of poppys from both the north and south hemisphere 

Investment powerhouses Sol Patts and Thorney Investments own a combined 34% of TPI. 

Thorney Investments has doubled their ownership in the last year