27 April 2017

C4X Discovery Holdings plc - Interim results for the six months ended 31 January 2017

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF REGULATION 2014/596/EU.

(“C4XD”, “C4X Discovery” or the “Company”)

Interim results for the six months ended 31 January 2017

27 April 2017 - C4X Discovery Holdings plc (AIM: C4XD), a pioneering drug discovery company, today announces its interim results for the six months ended 31 January 2017.

Corporate highlights:

Strategy

The Board is committed to the delivery of C4X Discovery’s (“C4XD”) vision to become the world’s most productive, self-sustaining Drug Discovery Engine.
Focus has shifted to generating a high value pre-clinical asset portfolio that will drive revenue through early stage licensing deals with the pharmaceutical industry. Existing fee-for-service agreements have been discontinued during the current financial year.

Partnerships

The Company continues to enhance its core state-of-the-art target identification and drug design capabilities through strategic partnerships:
A new multi-target risk-sharing alliance with Evotec AG (“Evotec”) was announced in September 2016. Evotec and C4XD will work together on novel small molecule drugs across a range of targets, therapeutic areas and stages of development.

Discovery Engine progress

C4XD’s proprietary drug asset portfolio has grown from three programmes in addiction, diabetes and chronic obstructive pulmonary disorder in 2014, to eight programmes across a number of therapeutic areas.
Disease areas of focus are inflammation, neurodegeneration, and opportunistic areas (e.g. immuno-oncology, addiction, and diabetes).

Senior appointments

Brad Hoy, Chief Financial Officer, and Dr Craig Fox, Chief Scientific Officer, were appointed to the Board of Directors in November 2016.

Financial highlights:

Completion of a £5.0 million fundraise in September 2016 through the placing of 4,901,961 new ordinary shares in the capital of the Company (“Ordinary Shares”) at a price of 102 pence per Ordinary Share, bringing in new institutional investors including Calculus Capital Limited and Polar Capital LLP.
Cash, cash equivalents, short-term investments and deposits at 31 January 2017 of £2.2 million (31 July 2016: £1.3 million and 31 January 2016: £5.0 million).
Net assets at 31 January 2017 of £6.1 million (31 July 2016: £4.3 million and 31 January 2016: £5.3 million).

Post-period end

Completion of a £7.0 million fundraise in March 2017 through the placing of 8,235,294 new Ordinary Shares with existing and new investors at a price of 85 pence per Ordinary Share.
Proceeds of the fundraise will be used to support working capital and continue successful execution of the Company’s strategy, strengthen the balance sheet as partnering discussions progress, and expand C4XD’s commercial capabilities.

"The recent period has seen C4XD make significant progress towards our goal of becoming the world’s most productive, self-sustaining Drug Discovery Engine. We have strengthened our cash position and management team, and entered a strategic alliance with Evotec which, alongside our own innovative drug discovery technologies, will expand our ability to generate commercially attractive pre-clinical assets to meet the pharma industry’s increasing demand for high quality early-stage drug candidates. C4XD aims to continue growing its commercial capabilities and progressing partnering discussions with the aim of completing at least one revenue-generating deal on the C4XD portfolio in the next 12 months. Myself, the Board and senior management are excited about the future of the Company.”

Dr Clive Dix

CEO of C4X Discovery

For further information, please contact:

C4X Discovery Holdings plc
Clive Dix, Chief Executive Officer
07801 865 803

Panmure Gordon (UK) Limited (NOMAD)
Freddy Crossley, Duncan Monteith (Corporate Finance)                   
Tom Salvesen (Corporate Broking)                                                                                                                          
020 7886 2500

Consilium Strategic Communications
Mary-Jane Elliott, Matthew Neal, Melissa Gardiner
0203 709 5700

About C4X Discovery

C4X Discovery aims to become the world’s most productive drug discovery engine by exploiting cutting edge technologies to design and create best-in-class small-molecule candidates targeting a range of high value therapeutic areas. The company’s goal is to drive returns through early-stage revenue-generating deals with the pharmaceutical industry.

C4X Discovery has a state-of-the-art suite of proprietary technologies across the drug discovery process. The company’s innovative DNA-based target identification platform (Taxonomy3®) utilises human genetic datasets to identify novel patient-specific targets leading to greater discovery productivity and increased probability of clinical success. This is complemented by C4XD’s novel drug design platform which comprises two innovative chemistry technologies, Conformetrix and Molplex, that combine 4D molecular shape analyses (based on experimental data) with best-in-class computational chemistry. This provides new and unprecedented insight into the behaviour of drug molecules, enabling the production of potent selective compounds faster and more cost effectively than the industry standard.

C4X Discovery is advancing its in-house pipeline in addiction, diabetes and inflammation with a number of new drug candidates identified and further progress made towards the clinic. In selecting new targets C4X Discovery will focus on the high-value disease areas of inflammation and neurodegeneration, and will continue to maximise value from opportunistic areas, for example, immuno-oncology.

The Company was founded as a spin-out from the University of Manchester. It has a highly experienced management team and Board who have delivered significant value creation within the healthcare sector historically and have enabled C4XD to reach multiple value inflexion points since IPO.For additional information please go to: www.c4xdiscovery.com

Download full results statement


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