First Day of Dealings on AIM
Evolutec Group PLC
2 August 2004
For immediate release 2 August 2004
EVOLUTEC GROUP PLC
First Day of Dealings on the Alternative Investment Market ('AIM')
Evolutec Group plc ('Evolutec' or 'the Company') (LSE: EVC), the
biopharmaceutical company developing novel products for the treatment of
allergic, inflammatory and autoimmune diseases, is pleased to announce its
flotation on the Alternative Investment Market of the London Stock Exchange
('AIM') today.
• Evolutec isolates potential drugs from the saliva of ticks, which contain
an array of novel molecules that suppress mammalian immune responses.
These molecules offer the potential of treating human diseases caused by
over-responsiveness of the immune system and have evolved over millions of
years to enable ticks to take blood from their hosts.
• The Company's lead product, rEV131, is a recombinant histamine-binding
protein. The Directors believe rEV131 is the only product in clinical
trials that impacts the recently discovered H4 receptor. rEV131 has
completed preliminary phase II clinical trials in allergic conjunctivitis,
rhinitis and ocular inflammation.
• £6.0 million (gross) was raised for Evolutec via a Placing at the price of
125 pence per share and via the exercise of outstanding warrants.
• Collins Stewart is the Company's nominated advisor and broker. Elixir
Securities acted as research consultants.
• On Admission, the market capitalisation of Evolutec at the Placing
Price will be £12.7 million (post new money).
• The proceeds will be used to fund proof of concept phase II clinical trials
in allergic rhinitis and phase II and III trials in post-cataract surgery
for rEV131 and to fund the development of the Company's pipeline.
• ISIS Asset Management plc, one of Evolutec's principal shareholders, has
invested £1.8 million in the Fundraising.
• Evolutec's directors have invested £217,500 in the Fundraising.
FUNDRAISING STATISTICS
Placing Price 125p per share
Number of Ordinary Shares placed on behalf of the Group 4,560,000 shares
Gross proceeds of the Placing £5.7 million
Proceeds from exercise of Warrants £0.3 million
Net proceeds available to the Company £5.1 million
Market capitalisation at the Placing Price on Admission £12.7 million
Issued Share Capital after issue 10,198,048 shares
Commenting on the announcement, Dr Mark Carnegie Brown, Evolutec's Chief
Executive Officer, said: 'I am delighted that Evolutec has joined AIM today.
Our support from investors has been extremely strong - both from new and
existing institutions. We look forward to building value for our shareholders
and reporting positive news back to the market.'
ENDS
For further information:
Evolutec 01865 784070
Mark Carnegie Brown, Chief Executive Officer
Nicholas Badman, Chief Financial Officer
www.evolutec.co.uk
Collins Stewart 020 7523 8350
Chris Howard
Elixir Securities
Andrew Tivenan/Steven Cox 020 7743 8810
Buchanan Communications 020 7466 5000
Mark Court/Tim Anderson/Mary-Jane Johnson
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Further details about Evolutec:
Evolutec, which is based at the Oxford Science Park in Oxford, UK, was founded
in 1998 from technology originally developed by the National Environment
Research Council, a Government funded organisation that supports environmental
science. Evolutec was funded as a private company by investors including Isis
Asset Management and 3i.
Evolutec isolates potential drugs from the saliva of ticks. The tick remains
undetected by its hosts, including humans, by injecting an array of molecules
into the skin that suppresses normal defence mechanisms. These stealth molecules
have evolved over millions of years to enable the tick to take a blood meal from
its host. Evolutec employs the tick's evolutionary stealth technology to offer
the potential of treating human diseases caused by over-responsiveness of the
immune system.
The Company's lead product, rEV131, is a histamine-binding protein that has
progressed to phase II trials in allergic conjunctivitis, rhinitis and ocular
inflammation. Positive preclinical data have been generated in asthma and acute
respiratory distress syndrome. rEV131 is understood to be the only product
currently in clinical trials that impacts the H4 receptor, a receptor implicated
in many forms of inflammatory disease. The Company intends to start key clinical
trials with rEV131 in allergic rhinitis and post-cataract surgery.
The Company has a further two products in preclinical development and a
significant pipeline of other product candidates.
Evolutec's expertise in tick biology has enabled it to develop vaccines against
ticks and tick-borne disease. In September 2003 the Company partnered its
programme to develop anti-tick vaccines in animals with Merial, one of the
world's leading animal healthcare companies.
Evolutec has used investment of just £6.6 million to bring the Company to its
current stage of development. Evolutec's directors will continue to pursue a
lean outsourcing business model, which will seek to capture maximum value for
shareholders potentially by keeping specialist ophthalmic indications in-house
and licensing-out larger indications of rEV131.
The Company has an experienced management team that has a wide range of industry
and financial expertise from within and outside the sector and specific know-how
in bringing new technology to market. Evolutec is headed by Chairman Dr David
Bloxham, a former director of companies including Celltech Group. The Chief
Executive Officer, Dr Mark Carnegie Brown, has 16 years' experience with ICI and
Zeneca in research, commercial and managerial roles. The Chief Financial
Officer, Nicholas Badman, is a chartered accountant with 10 years' experience in
corporate finance including positions at investment banks HSBC and Schroder
Salomon Smith Barney.
Evolutec's non-executive directors are John Burke, a former Chairman of Glaxo
Pharmaceuticals, and Dr Graeme Hart, who is also Chairman of Corin Group and a
non-executive director of Huntleigh Technology.
This information is provided by RNS
The company news service from the London Stock Exchange