26th Oct 2015 09:35
LONDON (Alliance News) - Avacta Group Inc on Monday reported a widened pretax loss for its recently ended financial year as a result of continued investment in its Affimer platform, and its decision to cease work on its in-clinic diagnostic device Sensipod.
Avacta provides research reagents, consumables and equipment for the life sciences and animal care markets.
For the year to end-July the company reported a pretax loss of GBP5.5 million, widened from a pretax loss of GBP2.0 million a year before, as a result of higher administrative expenses and a GBP2.4 million impairment of intangible assets. Revenue rose to GBP1.8 million from GBP1.6 million.
Avacta said its development expenditure increased to GBP3.1 million from GBP1.9 million, as it sped up the development of the Affimer platform. The GBP2.4 million impairment was in relation to its decision to stop further investment in its Sensipod device.
The company continued to focus on its Affimer business. Affimer's are an engineered alternative to antibodies used for diagnostics, therapeutics and general research and development. During the year, Avacta inked a partnership with Moderna Therapeutics and raised GBP21 million in a fund raising, which it will use to expand into new facilities in Cambridge in spring 2016, and to expand its development team.
"The strategic deal with Moderna Therapeutics in large part underpinned the rationale for our subsequent significant fund raise, completed during August, which has allowed the company to expand significantly its in-house Affimer therapeutics development programme. These monies should allow us, amongst other objectives, to deliver at least one Affimer drug candidate in to the clinic in the next few years," said Chief Executive Officer Alastair Smith in a statement.
Shares in Avacta were down 2.5% at 1.37 pence Monday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Avacta Group