Nanotechnology: Non-traditional Methods for Valuation of

0,91
MB Nanotechnology Producers Introducing the Innovest

124
stron Nanotechnology Index for the Value Investor

5963
ID Innovest Strategic Value Advisors, Inc.

2005
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Table of Contents

1. The Innovest Nanotechnology Index and Research Group 6

2. Overview: The potential materiality of public perception risk for Nanotechnology 9

Other forward looking indicators are also important in evaluating nanotechnology firms 9

The Investment Landscape and its relevance to our analysis . 10

Analytical Focus 17

With any new technology, revenues may not happen right away…. 19

Conclusion 20

3. Market Viability 21

Viable Product Strategy.22

Consensus timeline for commercialization of products .22

Perception Risk May Cause Delays in Lead Times and Diminished Demand .23

Perception risk impact to various types of nano firms .23

Demonstrating the Benefits - a Key Aspect of a Viable Product Strategy25

Risk mitigation 25

Investment Strategy26

Strategic Profit Opportunity in the Analytical Set.29

4. Product Related Risk.34

Product safety.34

Innovest Analysis on Hazards .35

Innovest Analysis on Exposure Risk35

The Insurer’s Perspective 37

Investment Strategy. 37

Investors will need to remain abreast of scientific developments . 38

EHS Science Funding is Critical to Limiting Uncertainty.39

Relevance of NGO Comments for Shareholders: 41

Regulators’ Reticence to Act, Impact to Firms 42

A model to support viable markets: Cambridge, MA44

Chinese officials believe standards support viable markets 44

Standards Setting . 45

Regulatory Outlook: United States 46

Environmental Protection Agency 46

Food and Drug Administration. 46

Occupational Safety and Health Administration. 48

Regulatory Outlook: International 49

Issues to Consider . 49

Unanswered Questions50

5. Product Stewardship. 51

Testing 51

Agency . 51

University . 51

Independent 51

Disclosure.52

Life Cycle Analysis 52

Operational Quality .53

Small Business Innovation Research53

Teaming up with Environmental Defense .53

HPV.54

6. Conclusions.55

7. Profiles of Index Constituents57

Altair Nanotechnologies, Inc 58

ApNano. 61

BASF AG62

BioSante Pharmaceuticals, Inc.65

FEI Company.67

Flamel Technologies S.A. . 69

General Electric Company . 71

Headwaters Incorporated 73

JMAR Technologies, Inc. 76

Lumera Corporation.78

Nalco Holding Company. 80

Plug Power, Inc.82

Spire Corporation 84

Starpharma Group 86

Veeco Instruments, Inc 89

8. Brief Profiles of Research Group . 91

Ener1, Inc. 91

Konarka Technologies, Inc. . 91

MEMS USA 91

Nanodynamics 92

Nanomix92

Nanosight .92

Nanosolar, Inc.93

Nanosys, Inc. .93

9. Explanation of Analytical Set.94

10. Appendices 95

Appendix 1: Characterization of the Nanoparticle 95

Appendix 2: Detection Methods Available 97

Appendix 3: Potential exposure routes of Nanoparticles. 98

Appendix 4: Nanoparticle Potential for Environmental Interaction . 102

Appendix 5: Overview of Regulatory Landscape. 103

United States . 103

Toxic substances control act . 103

European Union 104

Registration.105

Evaluation .105

Authorization106

Chemical Safety Report 106

Appendix 6 – About Innovest 107

Appendix 7 - Leading-Edge Investment Research: “Non-Traditional” Risk

Factors . 109

Appendix 8 - Innovest Rating Methodologies 119