Trading Update

RNS Number : 6635K

Epistem Holdings plc

01 August 2013

 



Trading Update

Epistem Holdings Plc ("Epistem" or "the Company")

Epistem (AIM: EHP), the biotechnology and personalised medicine company, today announces a pre-close trading statement for the year ended 30 June 2013.

As at the date of this announcement, revenues recognised during the year ended 30 June 2013 are at £5.4m with recognition of a further £1.0m-£1.2m (US$1.6m-US$1.8m) expected, on the successful completion of discussions with Becton Dickinson ("BD") thereby resulting in anticipated forecast revenues for the year of £6.4m-£6.6m (2012: £5.6m).  A post tax loss of £1.2m recognised thus far will be reduced to £0.3m - £0.4m commensurate with recognition of revenue from BD. Development of Genedrive^® has been the key focus of the Personalised Medicine division, with Preclinical Research Services and Novel Therapies broadly in line with the prior year. Following the cash placing of £4.2m (net) in December 2012 net cash as at 30 June 2013 was £6.2m. 

In August 2012, the Company announced that it had reached agreement with BD in relation to the supply and distribution of its TB test on a global basis (excluding India and the Indian Sub Continent) using Epistem's Genedrive^® platform.  The BD agreement provided for Epistem to receive an upfront payment of US$1m and potential further milestone payments of up to US$3m.  Neither the upfront payment nor any milestone payments have been recognised as revenue, pending the Company agreeing with BD to expand the supply and distribution agreement to include manufacturing of the TB test. Discussions with BD are now at an advanced stage and, if successfully concluded, will result in Epistem recognising £1.0m-£1.2m (USD$1.6m-US$1.8m) of these revenues in the year ended 30 June 2013. TB Indian regulatory submission is now expected to follow successful conclusion of these discussions.

The Company expects to make a further announcement in due course.

Jeff Moore has informed the Company of his intention to resign as a director of the Company and pursue other activities outside of the Group.  The Company would like to thank Jeff for his support of the Novel Therapies division over the past 8 years and is in the process of agreeing his departure date.

For further information contact:

Epistem Plc

Matthew Walls, Chief Executive Officer                                               ++44 161 606 7258                                                  
John Rylands, Chief Financial Officer

Peel Hunt LLP

Nominated Adviser: James Steel/Vijay Barathan                              ++44 207 418 8900                                                        

Walbrook

Mike Wort/Anna Dunphy                                                                              ++44 207 933 8780

Notes to Editors:

About Epistem

Epistem is a biotechnology and personalised medicine company commercialising its expertise in epithelial stem cells and pharmacogenomics in the areas of oncology, gastrointestinal, dermatological and infectious disease.

Epistem develops novel therapeutics, biomarkers and diagnostics alongside providing preclinical services to drug development companies. Epistem's core expertise is focused on the regulation of adult stem cells located in epithelial tissue which includes the gastrointestinal tract, skin, hair follicles, breast and prostate. Epistem also has a range of proprietary amplification (RNA and DNA) technologies for use in drug discovery, development and diagnostics.  

 

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