31st Jul 2018 18:44
LONDON (Alliance News) - OKYO Pharma Ltd on Tuesday posted a dramatically widened annual loss following the disposal of its entire interest in the capital of its mining subsidiary.
Shares in OKYO closed down 8.0% at 4.14 pence on Tuesday.
The GBP52.3 million write-off of Ferrum Resources Ltd caused OKYO's loss to multiply significantly from just GBP193,900 reported the prior year to GBP53.1 million in it financial year ended March 31.
OKYO produced no revenue in either year but has changed direction completely, transforming from a mining exploration company to a pharmaceutical investor. The company cancelled its AIM trading facility, moved to Guernsey, and registered as OKYO Pharma on the main market.
OKYO disposed of Ferrum, formerly West African Minerals Ltd, through a distribution of all remaining shares.
In February, nearing the end of its year, OKYO said it had been given the opportunity to buy a licence and sub-licence for a patent. The patent includes the use of the protein chemerin to treat eye inflammation and dryness.
"The company identified the chemerin project as an initial business opportunity and will look to make further complementary acquisitions in the future. The company wishes to differentiate itself by focusing on opportunities where clinical development timelines are short and where the management teams can benefit from the clinical development and commercialisation experience of its directors and senior management," said Acting Chairman Willy Simon.
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