4basebio PLC
("4basebio", the "Company" or the
“Group”)
Development of GMP
manufacturing capacity
4basebio PLC (AIM: 4BB), the specialist life sciences group
focused on exploiting intellectual property in the field of cell
and gene therapies and DNA vaccines, is pleased to announce that it
has commenced the development of its pilot clean room project for
the purpose of manufacturing GMP standard DNA.
The manufacturing capacity is being developed in a dedicated
4,400 square feet facility (“the Facility”) with the installation
expected to be completed before the end of 2021. The Facility will
provide for seven DNA production suites which, when fully
operational, will be capable of generating quantities of DNA with a
value in excess of £25 million per annum (based on current market
prices and depending on customer order batch sizes).
Once completed, the Facility will undergo testing and validation
with a view to becoming operational during H1 2022. The Company
then plans to manufacture and sell research and pre-clinical grade
DNA while working towards securing GMP accreditation.
The Company will initially focus on the sale of DNA for use in
AAV vectors, a common method of delivering gene therapies; and In
Vitro Transcription, where DNA is the template for the manufacture
of mRNA. For both products, DNA is a critical starting
material.
The decision to develop the clean rooms in a dedicated facility
was taken following consideration of the overall space requirements
for the DNA and nanoparticle sides of the business. In order
to develop the manufacturing capacity required, 4basebio UK, a
subsidiary of the Company, has secured a long term lease for the
Facility.
The earmarked capital commitment for this project is about £1.5
million. Consistent with previous indications, the Company has a
cash runway into 2023 and will also be able to draw on the £22m
debt facility with its former parent company, if necessary.
Dr Heikki Lanckriet, CEO and
CSO for 4basebio, commented: “We are very pleased to have
commenced the development of this manufacturing facility, with the
objective of taking the final steps in the commercialisation of our
DNA technology. Alongside the clear market need for
additional DNA manufacturing capacity, our synthetic DNA offers
clear advantages over plasmid DNA, which we believe places 4basebio
in a strong competitive position.”
Related Party Transaction
The Company has secured a lease for the Facility on standard
commercial terms for a period of 15 years with break clauses at an
annual cost of £50,000 per annum. Dr Lanckriet, the CEO and CSO of
the Company, has a 50 percent indirect interest in the head lease
of the Facility. Accordingly, the entering into the Lease by the
Company is deemed to be a related party transaction (“Transaction”)
pursuant to the AIM Rules for Companies. With the exception
of Dr Lanckriet, the directors of the Company, having consulted
with the Company's Nominated Adviser, Cairn Financial Advisers LLP,
consider the terms of the Transaction to be fair and reasonable
insofar as the Company’s shareholders are concerned.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014 (which forms part of
domestic UK law pursuant to the European Union (Withdrawal) Act
2018).
For further enquiries, please contact:
| 4basebio
PLC |
+44 (0)12 2396
7943 |
| Heikki Lanckriet, CEO |
|
|
|
| Cairn Financial Advisers LLP
(Nominated Adviser) |
+44 (0)20 7213
0880 |
| Jo Turner / Sandy Jamieson |
|
|
|
| finnCap Ltd (Broker) |
|
| Geoff Nash/Richard
Chambers/Charlotte Sutcliffe |
+44 (0)20 7220
0500 |
|
|
|
|
Notes to Editors
4basebio (AIM: 4BB) is a specialist life sciences group focused
on therapeutic DNA for cell and gene therapies and DNA vaccines and
providing solutions for effective and safe delivery of these DNA
based products to patients. It is the intention of the Company to
become a market leader in the manufacture and supply of high
purity, synthetic DNA for research, therapeutic and pharmacological
use and develop non-viral vectors for the efficient delivery of
payloads. The immediate objectives of 4bb are to validate and scale
its DNA synthesis and advance its collaborations to facilitate the
functional validation of its DNA based products and cell and gene
delivery solutions.
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.