4basebio PLC
("4basebio", the "Company" or the
“Group”)
Half-year Report
for the six months ended 30 June
2024
4basebio PLC (AIM: 4BB), Cambridge, UK, 27
September 2024 – 4basebio PLC, an innovation driven
biotechnology company enabling and accelerating development of
advanced therapy medicinal products (ATMPs) through its high
performant synthetic DNA products and non-viral, thermostable
nucleic acid delivery platform, announces its unaudited half-year
results for the six months ended 30 June
2024.
Operational Highlights (including post period
end)
-
Revenues of more than £300k for the half
year
-
Order book above £600k at 30
June 2024
-
Strong growth in higher value HQ and GMP
opportunities
-
Supply Agreement signed for provision of DNA for
tier 1 pharma
-
Supply of DNA for manufacture of mRNA used in first
in human clinical
trial
-
Five additional patent filings during
2024
Financial
Highlights
-
£40m cash investment announced 29 July
2024
-
Cash balances of £2.7 million at period
end
-
Loss for the period of £5.7 million (H1 2023 loss:
£3.6 million)
-
Net cash outflow from operating activities of £5.1
million (H1 2023: £3.0
million)
Commenting on the interim results, Dr Heikki Lanckriet, CEO and CSO,
said “We are
pleased with our progress to date with the achievement of notable
milestones in our commercial development, including the agreement
to supply HQ and GMP synthetic DNA to a tier one pharma as well as
the supply of DNA for the production of mRNA for use in a first in
human vaccine program. We continue to see strong and growing
interest in synthetic DNA and expect 2024 revenues to represent a
significant step change to
2023.
We believe there is continued significant value
creation potential through ongoing investment in our synthetic DNA
platform, with the opportunity to develop additional novel nucleic
acid products to further reinforce 4basebio’s unique market
position and highlighting the flexibility of the technology
platform. Our Hermes™ delivery platform is also progressing
well with considerable promise both in the delivery of DNA and mRNA
payloads.
We are delighted to have reached agreement with
Elevage Medical Technologies, a Patient Square
Capital platform and Prudential Assurance Company
Limited acting by its investment manager M&G
Investment Management Limited for an investment of £40 million,
subject to regulatory approval. The funding will underpin the
commercial growth of the Company and the continued investment in
the platforms. We see this step as further validation of our
stated ambition to become the leading player in the supply of DNA
for cell & gene therapies and
vaccines.”
This announcement contains
inside information for the purposes of Article 7 of EU Regulation
596/2014.
For further
enquiries, please
contact:
4basebio
PLC |
+44 (0)12 2396
7943 |
Heikki Lanckriet, CEO and
CSO |
|
|
|
Cairn Financial Advisers LLP (Nominated
Adviser) |
+44 (0)20 7213
0880 |
Jo Turner / Sandy
Jamieson |
|
|
|
Cavendish Capital Markets Limited
(Broker) |
|
Geoff Nash / Charlie Beeson / Nigel
Birks |
+44 (0)20 7220
0500 |
|
|
Lionsgate Communications (Media
Enquiries) |
+44
(0)77 91892509 |
Jonathan
Charles |
|
|
|
Notes to
Editors
4basebio (AIM: 4BB)
is an innovation driven life biotechnology company focussed on
accelerating the development of advanced therapy medicinal products
(ATMPs) through its high performant synthetic DNA products and
non-viral, cell targeting nucleic acid delivery platform. The
Company’s objective is to become a market leader in the manufacture
and supply of high quality synthetic DNA products for research,
therapeutic and pharmacological use as well as development of
target specific non-viral vectors for the efficient delivery of
payloads in patients.
Chairman’s
Statement
Introduction
The Board is pleased to
report on the Group’s continued progress during the first half of
the year and the exciting developments over these past several
months. It is pleasing to note 4basebio’s accelerating
commercial traction, highlighted through a combination of
half year revenue and confirmed order book, which together
represents in excess of £900k. As indicated previously,
4basebio expects to make significant revenue progress this
financial year.
At the same time, the
Group continues to invest in its commercial and operational
capabilities, underscored by headcount increasing to 101 at
30 June 2024, an increase of 23
against 30 June 2023. As a result and as expected, the Group
incurred a net loss for the first half of 2024. 4basebio
continues to implement its strategy requiring ongoing investment in
technology and product commercialisation, which it expects will
generate significant revenues and profitability over
time.
Alongside this core focus,
4basebio is delighted to report the agreements entered into with
Elevage Medical Technologies
(“Elevage”), a Patient Square Capital platform and
Prudential Assurance Company Limited acting by its investment
manager M&G Investment Management Limited
(“M&G”) to facilitate an investment of £40 million to
further accelerate the Group’s commercial ambitions. As noted
in the announcements of 29 July 2024
and 9 September 2024, the completion
of this investment is subject to regulatory
clearance.
The investment represents
strong validation of the Group’s technology platform and commercial
aims and we are looking forward to welcoming Elevage and M&G to
our shareholder register. It is also anticipated that our new
shareholders will make valuable contributions to the future
strategic direction of the
Group.
This investment coincides
with the formation of a Strategic Advisory Board, as noted in the
announcement of 8 August 2024 as well
as the appointment of Dr Amy Walker
to the Company’s Chief Operating Officer and we welcome her to the
Board.
Operational
Review
Over the first half of the
year, the Group has continued its focus on commercial activities,
increasing its client base as well as continued product
platform development underpinned by multiple patent filings.
On these two points, the ambitions of the Group remain consistent
with previous periods; accelerating commercial traction and
continued innovation.
As the Group’s commercial
and GMP activities mature, 4basebio is increasingly focussed on
attracting customers at the late pre-clinical stage, with a
particular emphasis on DNA production for IND-enabling
clinical studies. Depending on each customer’s
application area, this variously requires high quality (“HQ”) and
GMP batches of DNA. Of particular highlight in this area is
the commitment from a tier one pharma company, announced on
10 April 2024, to both high quality
and GMP batches to be used in its manufacture of mRNA vaccines.
In addition, the use of
4basebio’s synthetic DNA for the manufacture of mRNA for a first in
human clinical trial announced on 21 March
2024 is yet another substantial milestone for the
Company. These developments corroborate and validate
management’s view that synthetic DNA is poised to take a
significant market share of the wider DNA market due to the many
benefits it offers over plasmid
DNA.
The Group continues to
consider how it can further accelerate its commercial success and
with the investment highlighted above, further significant
expansion in this area is planned in the near term. While the
Group’s customer base is primarily comprised of US clients, there
has been increasing interest in GMP opportunities across both
Europe and APAC, demonstrating the
accelerating momentum around 4basebio’s
activities.
While the Group’s core
focus remains its synthetic DNA offering, 4basebio continues to
make good progress in validating its Hermes™ platform in several
collaborative studies which offer promising evidence of commercial
potential for the platform, particularly in nucleic acid vaccine
applications, supported by the Bill and Melinda Gates Foundation
grant, announced on 1 August
2023.
Throughout the half year,
the Group has continued to innovate across both technology
platforms; the unique flexibility of its synthetic DNA platform
facilitating the generation of novel DNA products with
multi-application uses.
The board is pleased with
the continued progress which has been made during the first half of
2024 and remains very positive about the future prospects for the
Group. The Group continues to validate its commercial
proposition and synthetic DNA more generally through customer
revenues, while at the same time continuing to strengthen its
market position through additional patent filings around its
products and
technologies.
Business
outlook
Over the second half of
the financial year, the Group expects to continue to secure new
clients and increase revenues from the sale of DNA and
Hermes™. As previously indicated, the Group will also
continue investing in its technologies and capabilities, so that
ongoing expenditure will continue to significantly exceed revenues,
with the Group reporting a loss for the full year. The equity
investment as noted above will strengthen the Group’s financial
position and ensures 4basebio remains well-resourced to deliver on
its ambitions and commercial
targets.
Financial
Review
The results for the period
ended 30 June 2024 and the
consolidated balance sheet at that date reflect the consolidated
performance and position of 4basebio PLC and all its subsidiary
companies.
Revenue
The timing of revenue
recognition is dependent on the mutually agreed scheduling of
customer projects. Revenue in the first six months of 2024 (“H1
2024”) was £0.33 million (H1
2023: £0.24 million), while the
order book for DNA and Hermes™ projects exceeded £0.6
million.
Cost of
sales
Cost of sales in H1 2024
was £92k (H1 2023: £77k), relating to the direct cost of products
sold in the period.
Selling and
administration
expenses
Selling, general and
administrative expenses were a combined £2.6 million in H1 2024 (H1
2023: £1.9 million),
representing an increase of £0.7 million. Expenditure includes
non-cash items relating to amortisation and depreciation of £383k
(H1 2023: £190k) and share options charges of £348k (H1 2023:
£87k). Other expenditure excluding these non-cash items rose
by £311k, relating primarily to increases in Sales and marketing
expenditure.
Operations
expense
Operations expense was
£1.4 million (H1 2023: £0.6 million) This reflects the scaling of
the manufacturing and quality assurance teams between the
periods.
Research and
development
Overall research and
development expenditure for H1 2024 was £2.5 million (H1 2023: £1.8 million), of which £0.2 million was
capitalised in the period (H1 2023: £0.3 million). Overall expenditure
increased as the UK team and capabilities continued to
expand.
Tax
Tax represents R&D tax
credits expected to be recovered in due course in relation to
expenditure during the first half of the
year.
Balance
sheet
Non-current assets
increased to £7.0 million at 30 June
2024 from £6.9 million at 31 December
2023; this related to additions of tangible fixed assets in
the UK, capitalised R&D expenditure in Spain and capitalised patent spend as shown in
notes 6 and 7 to the half year results. Current assets
fell to £4.9 million at 30 June 2024
from £5.0 million at 31 December
2023, due to cash outflows during the first half of
2024. As a result, closing cash balances at 30 June 2024 stood at £2.7 million (31 December 2023: £3.1
million).
Current liabilities
reduced to £1.8 million at
30 June 2024 (31 December 2023: £2.3 million) with a modest
decline in short term financial liabilities and seasonal timing
differences in the build-up of certain accruals. The increase in
long term financial liabilities reflects the drawdown on the
2Invest AG loan facility, with overall long term liabilities at
£15.3 million as at 30 June 2024
(31 December 2023: £10.1 million).
Other long term liabilities represent deferred grant income in
Spain.
Share Capital increased
following the exercise of share options (as reported on 2 and
6 February 2024), giving rise to an
increase in share capital of £415k to £11.5 million and share
premium of £327k to £1.0 million, as shown in the Consolidated
statement of changes in
equity.
Cash
flow
Net cash outflows from operations were £5.1 million for the period
ended 30 June 2024 (period ended
30 June 2023: outflows of £3.0
million). This reflects an
increase in operating cashflows directly arising from the growth in
operations between the periods as presented in the Consolidated
statement of profit and
loss.
Cash outflows from
investing activities were static with a decline in the investment
in tangible fixed assets of £0.2 million for the period ended
30 June 2024 (period ended
30 June 2023: £0.4 million) relating
to both operations and R&D equipment. In addition,
intangible assets investment included capitalised development
expenditure in 4basebio S.L.U. representing a cash outflow of £0.2
million (H1 2023: £0.3 million), with additions of £0.3 million
relating to capitalised patent expenditure (H1 2023: 0.1
million).
Cashflows from financing
for the period ended 30 June 2024
reflect the drawdowns from 2Invest AG under the loan facility of
£5.1 million, partially offset by repayments of Spanish
softloans.
Exchange differences for
the period represent changes in the British pound value of cash
balances held in foreign
currency.
Tim McCarthy
Chairman
26 September
2024
Consolidated statement
of profit or loss and other comprehensive
income
for the
six months ended 30 June
2024
|
|
|
|
|
|
|
|
in
£‘000 |
Note |
Six months ended 30 June
2024
(unaudited) |
Six months ended 30 June
2023
(unaudited) |
Year ended
31 December 2023
(audited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
|
|
328 |
238 |
506 |
Cost of goods
sold |
|
|
|
(92) |
(77) |
(166) |
Gross
profit |
|
|
236 |
161 |
340 |
|
|
|
|
|
|
|
|
Sales and marketing
expenses |
|
|
|
(418) |
(248) |
(586) |
Administration
expenses |
|
|
(2,198) |
(1,603) |
(3,250) |
Operations
expense |
|
(1,390) |
(596) |
(1,417) |
Research and
non-capitalised development
expenses |
|
(2,269) |
(1,596) |
(3,560) |
Other operating
expenses |
|
(6) |
(18) |
(85) |
Other operating
income |
|
246 |
136 |
506 |
Loss from
operations |
|
(5,799) |
(3,764) |
(8,052) |
|
|
|
|
|
|
|
|
Finance
expense |
|
|
|
(343) |
(98) |
(302) |
|
|
|
|
|
|
|
Loss before
tax |
|
|
|
(6,142) |
(3,862) |
(8,354) |
|
|
|
|
|
|
|
|
Income tax credit /
expense |
|
|
4 |
414 |
307 |
689 |
|
|
|
|
|
|
|
Loss for the
period |
|
|
|
(5,728) |
(3,555) |
(7,665) |
|
|
|
|
|
|
|
|
Loss per
share |
|
|
|
|
|
-
Basic and diluted (in
£/share)
|
5 |
(0.45) |
(0.29) |
(0.62) |
|
|
|
|
|
|
|
Items that may be
reclassified to the income statement in subsequent
periods |
|
|
|
|
|
Exchange rate
adjustments |
|
(88) |
(243) |
(172) |
|
|
|
|
|
|
Total comprehensive
income |
|
|
(5,816) |
(3,798) |
(7,837) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
All of the loss for
each period is from continuing
operations.
Consolidated statement
of financial position
30 June
2024
in
£’000 |
|
|
|
Note |
30
June 2024(unaudited) |
31 December
2023 (audited) |
|
|
|
|
|
|
|
Assets |
|
|
|
|
|
|
|
|
Intangible
assets |
6 |
2,972 |
2,669 |
Property, plant and
equipment |
7 |
4,001 |
4,197 |
Other non-current
assets |
|
33 |
34 |
Non-current
assets |
7,006 |
6,900 |
|
|
|
|
Inventories |
|
362 |
332 |
Trade
receivables |
|
52 |
107 |
Other current
assets |
|
1,790 |
1,514 |
Cash and cash
equivalents |
8 |
2,718 |
3,069 |
Current
assets |
4,922 |
5,022 |
|
|
|
|
|
|
|
Total
assets |
|
11,928 |
11,922 |
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
|
Financial
liabilities |
|
(220) |
(392) |
Trade
payables |
|
(795) |
(694) |
Other current
liabilities |
|
(790) |
(1,191) |
Current
liabilities |
|
(1,805) |
(2,277) |
|
|
|
|
Financial
liabilities |
|
(15,274) |
(10,065) |
Other
liabilities |
|
(67) |
(72) |
Non-current
liabilities |
|
(15,341) |
(10,137) |
|
|
|
|
Total
liabilities |
|
(17,146) |
(12,414) |
Net
liabilities |
|
(5,218) |
(492) |
|
|
|
|
Share
capital |
|
11,547 |
11,132 |
Share
premium |
|
1,033 |
706 |
Merger
reserve |
|
688 |
688 |
Capital
reserve |
|
13,878 |
13,530 |
Foreign exchange
reserve |
|
(246) |
(158) |
Profit and loss
reserve |
|
(32,118) |
(26,390) |
Total
Equity |
9 |
(5,218) |
(492) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated statement
of changes in equity
for the
six months ended 30 June
2024
in
£‘000 |
Share
capital |
Share
premium |
Merger
reserve |
Capital
reserve |
Foreign
exchange |
Profit and loss
reserve |
Total
equity |
Balance at 1 January
2023
(audited) |
11,130 |
706 |
688 |
13,307 |
14 |
(18,725) |
7,120 |
Loss for the
year |
- |
- |
- |
- |
- |
(7,665) |
(7,665) |
Foreign Exchange
difference arising on translation of 4basebio
S.L.U. |
- |
|
|
- |
(172) |
- |
(172) |
Share based
payments |
- |
- |
- |
223 |
- |
- |
223 |
Shares issued in
period |
2 |
- |
- |
- |
- |
- |
2 |
Balance at 31 December
2023
(audited) |
11,132 |
706 |
688 |
13,530 |
(158) |
(26,390) |
(492) |
|
|
|
|
|
|
|
|
[in
£‘000] |
Share
capital |
Share
premium |
Merger
reserve |
Capital
reserve |
Foreign
exchange |
Profit and loss
reserve |
Total
equity |
Balance at 1 January
2024
(audited) |
11,132 |
706 |
688 |
13,530 |
(158) |
(26,390) |
(492) |
Loss for the
year |
- |
- |
- |
- |
- |
(5,728) |
(5,728) |
Foreign Exchange
difference arising on translation of 4basebio
S.L.U. |
- |
|
|
- |
(88) |
- |
(88) |
Share option
charge |
- |
- |
- |
348 |
- |
- |
348 |
Shares issued in
period |
415 |
327 |
- |
- |
- |
- |
742 |
Balance at 30 June 2024
(unaudited) |
11,547 |
1,033 |
688 |
13,878 |
(246) |
(32,118) |
(5,218) |
Consolidated statement
of cash flows
for
the six months ended 30 June
2023
|
|
|
|
|
|
|
in
£’000 |
|
30
June 2024(unaudited) |
30
June 2023(unaudited) |
31 December
2023 (audited) |
|
|
|
|
|
Net loss for the
period |
|
(5,728) |
(3,555) |
(7,665) |
Adjustments to reconcile
net loss for the period to net
cashflows |
|
|
|
Income
taxes |
(414) |
(307) |
(689) |
Interest
charge |
|
343 |
98 |
302 |
Depreciation of
property, plant and
equipment |
376 |
315 |
676 |
Amortisation and
impairment of intangible
assets |
137 |
16 |
33 |
Other non-cash
items |
296 |
87 |
220 |
Tax
receipt |
118 |
561 |
561 |
Working capital
changes: |
|
|
|
|
(Increase)/decrease in
trade receivables and other current
assets |
(55) |
(104) |
(109) |
|
Increase/(decrease) in
trade payables and other current
liabilities |
|
(180) |
(28) |
695 |
|
(Increase)/decrease in
inventories |
|
(34) |
(70) |
(202) |
Net Cash flows from
operating
activities |
|
(5,141) |
(2,987) |
(6,178) |
|
|
|
|
Investments in property,
plant and equipment and intangible
assets |
(188) |
(406) |
(871) |
Investments in
capitalised development and intangible
assets |
(507) |
(330) |
(619) |
Cash flows from
investing
activities |
(695) |
(736) |
(1,490) |
|
|
|
|
Net receipt/(payment) of
loans |
4,845 |
3,187 |
6,584 |
Interest
paid |
(53) |
(26) |
(67) |
Capital lease
payments |
(37) |
(49) |
(94) |
Proceeds of shares
issue |
742 |
2 |
2 |
Cash flows from
financing
activities |
5,497 |
3,114 |
6,425 |
|
|
|
|
Net change in cash and
cash equivalents |
(339) |
(609) |
(1,243) |
Exchange
differences |
(12) |
(184) |
(39) |
Cash and cash
equivalents at the beginning of the
period |
3,069 |
4,351 |
4,351 |
Cash and cash
equivalents at the end of the
period |
2,718 |
3,558 |
3,069 |
|
|
|
|
|
|
|
|
|
|
|
|
Notes to the financial statements
For the six months ended 30 June
2024
-
General
information
4basebio PLC (the “Company” or “4basebio”) is
registered in England and
Wales with company number
13519889.
The Company is domiciled in England and the registered office of the
Company is 25 Norman Way, Over, Cambridge CB24 5QE. 4basebio PLC is the parent
of a group of companies (together, “the Group”). The Group focusses
on life sciences and in particular the development of synthetic DNA
and nanoparticles suitable for inclusion in, or delivery of,
therapeutic payloads for cell & gene therapies and
vaccines.
The Company’s shares are traded on London Stock
Exchange’s AIM market. The international securities number
(ISIN) number for its AIM traded shares is GB00BLD8ZL39; its ticker
symbol is 4bb.l.
The interim report was approved by the board of
directors on 26 September
2024.
-
Significant accounting
policies
Basis of
preparation
This half year report, which is not audited, has
been prepared in accordance with the measurement and recognition
criteria of UK adopted International Accounting Standards. It does
not include all the information required for full annual financial
statements and should be read in conjunction with the financial
statements of the Company and the Group for the year ended
31 December
2023.
The accounting policies applied in this half year
report are consistent with those in the financial statements for
the year ended 31 December 2023, as
described in those financial
statements.
Significant
judgments
In the application of the Group’s accounting
policies, management is required to make judgments, estimates and
assumptions about the carrying amounts of assets and liabilities
that are not readily apparent from other sources. The significant
judgments made in relation to the financial statements are further
set out below.
Going
concern
The directors have at the time of approving the
half year report a reasonable expectation that the Group has
adequate resources to continue in operational existence for the
foreseeable future. Thus, they continue to adopt the going concern
basis of accounting in preparing the financial
statements.
Internally-generated
intangible assets – research and development
expenditure
Development expenditure is capitalised when the
conditions referred to in Note 4 of the Company's 2023 annual
report are met. Estimates and underlying assumptions are reviewed
on an ongoing basis. Revisions to accounting estimates are
recognised in the period in which the estimate is revised if the
revision affects only that period or in the period of the revision
and future periods if the revision affects both current and future
periods.
-
Foreign
currencies
The functional currency of the Group is British
Pounds.
The principal currency rate of the Group other
than the British Pounds is the euro which has developed as follows
in relation to the equivalent of one pound
(GBP/£):
in
GBP |
Closing exchange
rate |
Average exchange
rate |
|
30 June
2024 |
31 December
2023 |
|
|
Six months ended 30 June
2024 |
Six months ended 30 June
2023 |
Year ended 31 December
2023 |
|
Euro |
0.8464 |
0.8691 |
|
|
0.8547 |
0.8764 |
0.8698 |
|
-
Income
taxes
The Group anticipates claiming R&D tax credits
in both the UK and Spain in
relation to the year ended 31 December 2023. The quantum of
such claims for the first half of 2024 is estimated at £0.4 million
(period ending 30 June 2023: £0.3
million).
-
Loss per
share
|
Six months ended 30 June
2024 |
Six months ended 30 June
2023 |
Year ended 31 December
2023 |
Numerator in
£‘000 |
|
|
|
Loss for the
period |
(5,728) |
(3,555) |
(7,665) |
Denominator number of
shares |
|
|
|
Weighted average number
of registered shares in circulation (ordinary shares) for
calculating the undiluted earnings per
share |
12,709,129 |
12,318,987 |
12,319,270 |
|
|
|
|
Diluted and Undiluted
earnings per share
(£/share) |
(0.45) |
(0.29) |
(0.62) |
-
Intangible
assets
in
£‘000 |
Development
costs |
Patents and
licences |
Total |
Cost or acquisition
value |
|
|
|
01 January
2023 |
3,040 |
504 |
3,544 |
Additions |
446 |
173 |
619 |
Exchange
differences |
(62) |
(8) |
(70) |
31 December
2023 |
3,424 |
669 |
4,093 |
|
|
|
|
01 January
2024 |
3,424 |
669 |
4,093 |
Additions |
246 |
261 |
507 |
Exchange
differences |
(91) |
(14) |
(105) |
30 June
2024 |
3,579 |
916 |
4,495 |
|
|
|
|
Cumulative amortisation
and
impairment |
|
|
|
01 January
2023 |
1,367 |
53 |
1,420 |
Amortisation |
4 |
29 |
33 |
Exchange
differences |
(28) |
(1) |
(29) |
31 December
2023 |
1,343 |
81 |
1,424 |
|
|
|
|
01 January
2024 |
1,343 |
81 |
1,424 |
Amortisation |
116 |
21 |
137 |
Exchange
differences |
(36) |
(2) |
(38) |
30 June
2024 |
1,423 |
100 |
1,523 |
|
|
|
|
Net book
value |
|
|
|
31 December
2023 |
2,081 |
588 |
2,669 |
30 June
2024 |
2,156 |
816 |
2,972 |
|
|
|
|
|
-
Property, plant and
equipment
[in
£‘000] |
Operating
equipment |
Land and
buildings |
Right of use
assets |
Total |
Cost or acquisition
value |
|
|
|
|
01 January
2023 |
2,803 |
1,040 |
643 |
4,486 |
Additions |
895 |
- |
372 |
1,267 |
Disposals |
(24) |
- |
- |
(24) |
Exchange
differences |
(8) |
- |
(3) |
(11) |
31 December
2023 |
3,666 |
1,040 |
1,012 |
5,718 |
|
|
|
|
|
01 January
2024 |
3,666 |
1,040 |
1,012 |
5,718 |
Additions |
190 |
- |
- |
190 |
Exchange
differences |
(14) |
(3) |
(3) |
(20) |
30 June
2024 |
3,842 |
1,037 |
1,009 |
5,888 |
|
|
|
|
|
Cumulative amortisation
and
impairment |
|
|
|
|
01 January
2023 |
670 |
140 |
43 |
853 |
Depreciation |
493 |
47 |
137 |
677 |
Disposals |
(4) |
- |
- |
(4) |
Exchange
differences |
(5) |
- |
- |
(5) |
31 December
2023 |
1,154 |
187 |
180 |
1,521 |
|
|
|
|
|
01 January
2024 |
1,154 |
187 |
180 |
1,521 |
Depreciation |
285 |
25 |
66 |
376 |
Exchange
differences |
(7) |
(1) |
(2) |
(10) |
30 June
2024 |
1,432 |
211 |
244 |
1,887 |
|
|
|
|
|
Net book
value |
|
|
|
|
31 December
2023 |
2,512 |
853 |
832 |
4,197 |
30 June
2024 |
2,410 |
826 |
765 |
4,001 |
-
Cash and cash
equivalents
[in
£‘000] |
30 June
2024 |
31 December
2023 |
Bank balances and cash
in hand |
2,718 |
3,069 |
|
|
|
Cash and cash
equivalents |
2,718 |
3,069 |
-
Equity
On 6 February 2024,
485,735 shares were issued pursuant to exercises of employee share
options on 1 and 6 February 2024. As
a result, the share capital of 4basebio PLC as of 30 June 2024 amounts to a total of €12,805,208
divided into 12,805,208 shares of €1 (31
December 2023: €12,319,473 shares of €1). These are
all registered ordinary shares. There are no shares with special
rights or other restrictions on voting rights. Subsequent to
the half year, on 13 August 2024, a
further 5,520 shares were issued in relation to an employee
share incentive plan.
Share-based
payments
During H1 2024, 78,996 share options to subscribe
for shares in the Company were granted to employees with an average
weighted exercise price of £0.85 per share. As reported on
2 February 2024, these unapproved
options were awarded to compensate staff for the loss of EMI
qualification over pre-existing share options. These options
vest in line with those pre-existing
options.
In addition, 20,000 and 4,000 options were awarded
at a market price of £6.70 and £7.25 respectively. These
share options vest one quarter on the anniversary of the grant,
over four years. Consistent with previous awards as explained
in note 24 to the 2023 financial statements, the awards were valued
using a Black Scholes valuation
model.
An overall share-based payments charge of £348k
(H1 2023: £87k) has been expensed in the period with a
corresponding amount recognised in equity based on fair values
calculated per option, as at the dates of grant. The charge
for the half year is high due to the unique pricing and vesting
conditions associated with the compensation options, with the full
year charge expected to be proportionately
lower.
-
Legal
matters
As disclosed in note 26 of the 2023 financial
statements, 4basebio S.L.U., the Company’s Spanish subsidiary, is
engaged in legal proceedings in Spanish Courts with Tyris Tx.
The matter remains
ongoing.
-
Approval of the half year
report
The half year report was approved by the board of
directors and authorised for publication on 26 September
2024.
-
Events after the reporting
period
On 29 July 2024, the
Company announced a binding term sheet with Elevage Medical
Technologies (“Elevage”), a Patient Square
Capital platform and Prudential Assurance Company
Limited acting by its investment manager M&G
Investment Management Limited (“M&G”) for a combined equity
investment of £40 million at a price of £15.00 per ordinary share,
conditional on regulatory approval of the transaction. In
addition, Elevage and M&G have between them agreed to purchase
ordinary shares from entities belonging to the Deutsche
Balaton Group and certain management and directors of the
Company, at a purchase price equal to the Issue Price for an
aggregate purchase price of £29.4
million.
The Company then announced on 9 September 2024 that final documents had been
entered into in relation to the transaction. The announcement
further specified the number of shares to be sold by 2Invest AG and
certain directors and confirmed that on 7 September 2024, the Company entered into a new
relationship agreement with Elevage, M&G, 2Invest AG (on behalf
of the Deutsche Balaton Group) and Cairn Financial Advisers LLP as
well as a deed of termination in respect of its existing
relationship agreement, which was entered into at the time of its
admission to AIM, both with effect from admission of the Issuance
Shares to trading on AIM.
On 13 August 2024,
the company issued 5,520 shares in relation to an employee share
incentive plan.
Forward-looking
statements
This announcement may contain certain statements
about the future outlook for the 4basebio. Although the
directors believe their expectations are based on reasonable
assumptions, any statements about future outlook may be influenced
by factors that could cause actual outcomes and results to be
materially different.