18th Jun 2014 08:27
LONDON (Alliance News) - ReNeuron Group PLC Wednesday expressed confidence in its future as it continued to develop its stem-cell therapies towards commercialisation, and it posted a widened loss in the year to end-March.
The company posted a pretax loss of GBP7.8 million, widened from GBP7.1 million in the previous year, as it posted higher research and development costs, and benefited from GBP662,000 in grants during the year.
In July 2013, ReNeuron was awarded a grant package worth a total of GBP7.8 million from the Welsh government to establish a manufacturing and development facility in South Wales. In March 2014, it signed a lease agreement with the Welsh government for the facility and commenced work on it.
It expects to relocate to the Welsh facility in Spring 2015. ReNeuron said the new facility will allow it to supply its stroke and critical limb ischaemia trials in-house, which would improve supply, flexibility and cost.
Also in July 2013, ReNeuron raised GBP25.4 million in a share placing, which it said allowed it to progress trials for stroke and critical limb ischaemia, as well as retinitis pigmentosa.
Critical limb ischaemia involves blood clots in the legs. Retinitis pigmentosa is a degenerative eye disease.
The company has received regulatory approval for two clinical trials, a Phase II trial in stroke and a Phase I trial in critical limb ischaemia. Its ReN003 treatment for retinal diseases is undergoing a final set of pre-clinical studies, ahead of a Investigation New Drug filing in the US, and an initial Phase I/II trial is targeted for early 2013.
It also received a further GBP1.5 million grant during the year from the UK government's Technology Strategy Board to support its Phase II trial with ReN001 in strokes.
It has continued to work closely with the UK government-funded Cell Therapy Catapult initiative on a programme to scale up the manufacture of CTX stem cell line.
Following the year end, in April the company began searching for a new chief executive, as Chief Executive Michael Hunt prepares to move to the role of chief financial officer. Hunt will remain as chief executive until a replacement is secured.
Shares in ReNeuron were trading up 1.1% at 2.93 pence Wednesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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