Strategic Investment in InnoVenn

RNS Number : 9338S

Venn Life Sciences Holdings PLC

30 September 2014

 



30 September 2014

Venn Life Sciences Holdings Plc

("Venn" or the "Company")

Strategic Investment in InnoVenn

Venn Life Sciences (AIM: VENN), a growing Clinical Research Organisation (CRO) providing clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announces its technology development division InnoVenn has received a strategic direct investment of €800,000 from the Helium Rising Stars Fund.

Consistent with InnoVenn's mission of acquiring, accelerating and realising value from developed technologies, the Company has decided to mark a significant increase in value by facilitating a direct investment into InnoVenn at a pre-money valuation of €1m. InnoVenn acquired certain assets of Evocutis PLC in February of this year for a total consideration of £210,000. Since then significant progress has been made towards the successful commercialisation of the acquired technologies and this is evidenced by this uplift in valuation. Since acquisition, all technology development had been funded by Venn. This new investment leaves InnoVenn independently funded and well positioned to deliver these technologies through to commercialisation.

Following the investment, Venn will be interested in 55.6 per cent of the undiluted issued share capital of InnoVenn. Mr. D. Newton, who acts as a co-investment advisor to the Helium Raising Stars Fund, is an existing shareholder in Venn with a beneficial interest in 2,517,264 ordinary shares in Venn, representing 9.15 per cent of the issued share capital. The Directors having consulted with Zeus Capital Limited, its NOMAD, consider that the terms of the investment are fair and reasonable insofar as its shareholders are concerned.

Commenting on this development Venn CEO Tony Richardson stated:

"Having achieved recent success in our CRO business with the awarding of international contracts it is important that we capitalise on this momentum through continued investment in business development to deliver greater critical mass. This direct investment into InnoVenn allows us to concentrate on achieving this objective and leaves InnoVenn appropriately funded to deliver on its potential.

"I am particularly pleased that we have delivered an uplift in the value of the assets acquired in February 2014 and ensured that the business can develop without requiring additional financial support from Venn, and we believe this can only offer upside to shareholders in Venn."

Venn Life Sciences Holdings Plc
David Evans, Non-Executive Chairman	Tel: [phone]
Tony Richardson, Chief Executive Officer	Tel: [phone]
Zeus Capital (Nominated Adviser and Broker)
Ross Andrews/Andrew Jones (Corporate Finance)	Tel: [phone]
Dominic Wilson (Institutional Sales)	Tel: [phone]
Walbrook PR Ltd	Tel: [phone] or [e-mail]
Paul McManus	Mob: [phone]
Lianne Cawthorne	Mob: [phone]

 

END

 

 

MSCLLMMTMBJTTPI