TIDMEDEN
RNS Number : 2536S
Eden Research plc
29 September 2017
The following amendment has been made to the 'Half-year Report'
announcement released on 29 September 2017 at 7:00 am under RNS No
1717S.
The sterling figure in the first bullet of the Business
highlights section of the RNS should have read GBP0.5m instead of
GBP0.7m.
All other details remain unchanged.
The full amended text is shown below.
29 September 2017
Eden Research plc
("Eden" or "the Company")
Half Yearly Report
Eden Research plc (AIM: EDEN), the AIM-listed company that
provides breakthrough biocontrol products and natural
microencapsulation technologies to the global agrochemicals, animal
health and consumer products industries, announces its interim
results for the six months ended 30 June 2017.
Financial highlights
-- Revenue for the period increased to GBP1.03m (H1 2016: GBP0.11m)
-- Operating Profit for the period increased to GBP0.21m (H1 2016: loss of GBP0.86m)
-- Cash and cash equivalents of GBP3.66m (H1 2016: GBP2.01m)
-- Strategic investment of GBP2.2m by Sipcam and placing of
GBP0.2m (gross) to institutional investors
-- Expanding investment in regulatory clearances unlocking
commercial potential in new, important territories
Business highlights
Commercial, Regulatory and IP:
-- Multiple commercial agreements signed with Sipcam SpA
(Sipcam) including an Evaluation and Option Agreement for which a
fee of EUR0.6m (GBP0.5m) was paid to Eden, establishing a long term
collaborative partnership
-- EU approval of Eden's first agrochemical, fungicide product,
3AEY, gained in France and first commercial sales achieved
-- Further EU approvals received in Cyprus, Albania and Portugal (post period end)
-- Label extensions received in Kenya now include authorisation for the treatment of roses
-- Extension of 3AEY patent protection in Spain, Greece and
Cyprus and nematicide patent granted in US
-- New terms agreed with University of Massachusetts Medical
School ("UMMS") for licence to next-generation technology
Operational highlights:
-- Lykele van der Broek, former COO of Bayer Crop Science and
former Head of the Animal Health division of Bayer Health Care, to
be appointed as a Non-Executive Director and Chairman Designate of
the Company from 1 October 2017 and Chairman with effect from 1
January 2018
-- Tom Lupton to retire as Chairman and Non-Executive Director on 31 December 2017
Tom Lupton, Chairman, commented:
"Eden has achieved a successful first half performance. A
significant volume of our first plant protection fungicide, 3AEY,
has already been sold by our partners in France, Greece and Kenya
with on-going sales in Italy and Spain in the second half of the
year. While it is too early to predict the impact of climate and
overall conditions on sales, we are pleased to say that interest in
3AEY has been steadily growing, and we expect this to translate
into increasing market share as time, regulatory approvals and
growing conditions permit.
During the period, we successfully concluded a series of
commercial agreements with one of our existing partners, Sipcam
SpA, who paid us a fee of EUR0.6m for certain rights to Eden's
agrochemical products in a number of important territories.
Additionally, Sipcam made a strategic investment in Eden
subscribing to GBP2.2m in new shares and consequently has become a
significant shareholder with a 9.9% stake in the Company.
On 21 December 2016, we announced an exclusive distribution
agreement with Eastman Chemical for our nematicide product to be
marketed by Eastman as Cedrozä in nearly thirty countries across
the world. Progress during the first half of 2017 has been made in
registering Cedroz in a number of territories and we look forward
to working closely with Eastman to maximise the potential for
Cedroz from first commercial launch.
We are now beginning to see the result of our investments in
commercial relationships, intellectual property, technology and
regulatory approvals. These investments, along with our evolving
business model will continue to fuel growth. Whilst we will
continue to leverage our assets into new regulatory approvals and
territories and growing sales, we are increasingly focused on
developing our capabilities to support future growth.
Having been with Eden since 2012, I have watched its evolution
from early stage development to commercial stage, with great
prospects and the right team in place to fully exploit the
technologies and products and that have been developed over the
years. I believe that the time is now right for me to retire and am
pleased that I am passing the role of Chairman to Lykele van der
Broek, who has the necessary experience to support the executive
team and lead the Board through this new and exciting stage that
the Company has reached.
I would like to thank my colleagues and our shareholders for
their support during my time at Eden and wish the team at Eden all
the best for the future. I will continue to watch with a keen
interest as the business continues to grow and flourish in the
coming years."
A presentation for analysts will be held at 9.00am this morning
at Powerscourt's offices, 1 Tudor Street, EC4Y 0AH.
Enquiries:
Eden Research plc www.edenresearch.com
Sean Smith, Chief Executive Tel: 01285 359 555
Officer
Alex Abrey, Chief Financial
Officer
Shore Capital and Corporate www.shorecap.com
Limited
Stephane Auton/Patrick Tel: 020 7408 4090
Castle
Powerscourt eden@powerscourt-group.com
Samantha Trillwood Tel: 020 7250 1446
Nick Dibden
Chief Executive statement
Results
The business has performed well during the first half of the
year. Sales of our first plant protection product, 3AEY, have been
pleasing with repeat orders from multiple partners, and with robust
sales in France despite a slightly slower start than hoped due to
the authorization of the product coming late in the
commercialisation "window" for the current year. Although 2017 has
been a challenging year for crop protection products due to unusual
growing conditions (i.e. hard frosts in April followed by high heat
and drought in the summer, resulting in the smallest harvests in 60
years) in key markets such as France and Italy, 3AEY should achieve
a reasonable and growing market share based upon early assessments.
Indeed, grower feedback has also been positive with growers placing
3AEY performance on par with conventional fungicides. This is, in
fact, the standard we aim to achieve.
Total revenue from operations in the period to 30 June 2017 was
GBP1.03m, significantly ahead of last year at GBP0.11m, partly
driven by commercial sales of 3AEY in key grape growing countries
and partly by the upfront payment from the Evaluation and Option
Agreement entered into with Sipcam in June.
Strategic investment by Sipcam
A highlight for the Company during the period was the execution
of a series of agreements with Sipcam SpA covering product
distribution, product evaluations, and options for exclusivity in a
range of economically important countries. Sipcam is a strong
partner with a global footprint and a well-established position,
especially in many of our high-value fruit and vegetable market
targets, such as vines. Sipcam is also well-recognised in the
industry for its excellent formulation and production
capabilities.
Whilst we clearly recognise the potential for Sipcam to help
grow Eden's global presence and accelerate product
commercialisation across a range of existing and new products,
Sipcam has in turn recognised the real potential in Eden's
products, team and technology. Consequently, they have made a
strategic investment in Eden taking a 9.9% stake in the Company
through the purchase of GBP2.2 million of new shares. At the same
time, the Company also successfully raised c.GBP200k through an
institutional placing and announced that it had received a
non-binding indication from an existing institutional investor for
GBP300,000 of new shares (the "Additional VCT Placing"). Further to
the Company's announcement on 30 June 2017, the Company is pursuing
the relevant clearance from HMRC that the Company's business will
qualify for the relevant tax reliefs in connection with the
Additional VCT Placing and will make a further announcement as
appropriate.
We look forward to working with Sipcam both on the short-term
commercialisation of 3AEY in key vine markets globally, but also in
our long-term collaboration focussed on leveraging our respective
technical and commercial capabilities for the benefit of both
companies, our shareholders, and growers around the world.
Commercial progress
Investment in regulatory clearances unlocks commercial potential
in new, important crop targets and territories. During the period,
Eden's product, 3AEY has received regulatory clearance in France
with the recently-announced approval in Portugal coming after the
period end. Furthermore, 3AEY has also received approval in Cyprus
and Albania, and minor use and emergency authorisations have also
been granted on new crop targets such as aubergine, kiwi and
pomegranate. We are working hard to continue this expansion into
new territories including key markets such as the United States and
various South American countries.
On 21 December 2016, we announced a major distribution agreement
with Eastman Chemical's subsidiary, Taminco, for Eden's nematicide
product which will be marketed as Cedrozä. Since that time, we have
been actively collaborating with Eastman which is busy with the
management of field trials and the generation of data supporting
product registrations in nearly 30 countries around the world.
Registration and commercialisation timing is on track, and we
continue to anticipate product sales in 2019, as previously
announced. To date, product feedback is positive, and both parties
continue to look for opportunities to broaden the segment of the
global nematicide business that can be addressed by Cedrozä.
We have previously announced a number of licence agreements and
a share-based transaction leading to the acquisition of 29.9% of
TerpeneTech Limited. Subsequently, TerpeneTech Limited has been
focussed upon the further development, registration, and launch of
its head-lice treatment product in the United States and Europe. In
parallel, they have been in conversation with several potential
channel distribution partners, and we expect that the outcome of
these discussions will be announced in the coming months. We
currently expect TerpeneTech to announce the launch of its
head-lice treatment product in early 2018, subject to timely
regulatory submissions and the subsequent authorisations, which are
on-going.
This year, we have increased our focus on our intellectual
property ("IP") portfolio, including both patents and trademarks.
In conjunction with this, we have appointed new patent agents and
advisors to manage the overall portfolio and to work with us and
with our partner, Xinova (formerly Intellectual Ventures), to
devise various IP-related strategies. It is also pleasing to note
that the prosecution of Eden's patent applications globally
continues to proceed with Eden receiving new granted patents in
Australia, the United States, and Japan. Furthermore, we have been
granted "supplementary protection certificates" (SPCs) in a number
of countries further extending our 3AEY patent protection in
territories in which we have authorisation to sell by approximately
six years. We will continue to use SPC's to provide additional
patent protection for our products.
We continue to engage in active portfolio management. This means
that we routinely review our portfolio to assess its fit with our
longer-term business objectives, and we actively manage our patents
in alignment with these objectives. As a part of this process, we
have also agreed new terms with UMMS covering our licence to
certain University-owned encapsulation technologies resulting in a
net reduction in Eden's short-term financial obligations to UMMS.
In Eden's 2016 Report and Accounts, it was noted that an amount of
GBP570,000, (USD$700,000) had been accrued to UMMS for minimum
royalties payable under the licence agreement which Eden signed
with UMMS in 2011. The amount accrued has now been written off, and
Eden has agreed to pay a fee of USD$250,000. A portion of this fee
was due upon signature of the Amendment, and the balance is payable
in one year's time from signature.
Dividend
There was no dividend paid or proposed for the six month period.
The Board continues to monitor its dividend policy.
Outlook
Based on these interim results, and the significant commercial
and regulatory progress made over the last six months, current
trading is in line with the Board's expectations for the full
year.
We are focussed on execution under our recent agreements with
Sipcam and Eastman Chemical, as these partnerships provide us with
the resources and capabilities to achieve strong future growth. We
are also increasing our focus on the development of our internal
capabilities, thereby ensuring appropriate resources and assets for
future continued growth. I look forward to working with the Board,
our team and our partners to fully realise our ambitions.
Eden Research plc
Statement of Comprehensive Income for the six months
ended 30 June 2017
Six Six
months months Year
ended ended ended
30 June 30 June 31 December
2017 2016 2016
GBP'000 GBP'000 GBP'000
unaudited unaudited audited
re-stated
Revenue 1,026 109 392
----------- ----------- -------------
Cost of sales (312) (11) (29)
----------- ----------- -------------
Gross profit 714 98 363
----------- ----------- -------------
Administrative expenses (692) (550) (1,439)
Exceptional royalties
refund (note 9) 570 - -
Amortisation of intangible
assets (387) (337) (680)
Share based payments
(note 8) - (73) (130)
----------- ----------- -------------
Total other operating
expenses (509) (960) (2,249)
Operating profit/(loss) 205 (862) (1,886)
Finance income/(costs)
Share of loss of equity 2 2 (15)
accounted investee, net
of tax (3) (2) (12)
----------- ----------- -------------
Profit/(loss) on ordinary
activities before taxation 204 (862) (1,913)
Tax on profit/(loss)
on ordinary activities - 82 82
----------- ----------- -------------
Profit/loss for the financial
period 204 (780) (1,831)
Other Comprehensive Income:
Items that will not be
reclassified subsequently
to profit or loss - - -
Items that will be reclassified
subsequently to profit
or loss - - -
----------- ----------- -------------
Other Comprehensive Income
net of tax - - -
Total Comprehensive Income
since last Report 204 (780) (1,831)
Profit/(loss) per share
(pence) - basic and diluted
(note 4) 0.11 (0.44) (1.03)
Eden Research plc
Consolidated Statement of Financial Position as at 30 June
2017
30 June 30 June 31 Dec
2017 2016 2016
GBP'000 GBP'000 GBP'000
Unaudited
Unaudited re-stated Audited
ASSETS
NON-CURRENT ASSETS
Intangible assets (note
6) 5,043 5,290 5,212
Investments in equity
accounted investee
(note 7) 808 822 811
5,851 6,112 6,023
CURRENT ASSETS
Trade and other receivables 998 238 241
Cash and cash equivalents 3,663 2,007 1,532
4,661 2,245 1,773
TOTAL ASSETS 10,512 8,357 7,796
LIABILITIES
CURRENT LIABILITIES
Trade and other payables 1,114 598 965
TOTAL CURRENT LIABILITIES 1,114 598 965
NON-CURRENT LIABILITIES
Trade and other payables 67 - 67
TOTAL NON-CURRENT LIABILITIES 67 - 67
TOTAL LIABILITIES 1,181 598 1,032
EQUITY
Called up share capital 2,085 1,846 1,846
Share premium account 31,264 29,140 29,140
Merger reserve 10,210 10,210 10,210
Warrant reserve 615 808 615
Retained earnings (34,843) (34,245) (35,047)
TOTAL EQUITY attributable
to owners of the parent 9,331 7,759 6,764
TOTAL EQUITY AND LIABILITIES 10,512 8,357 7,796
Eden Research plc
Statement of Changes in Equity as at 30 June 2017
Share Share Merger Warrant Retained Total
capital premium reserve reserve earnings
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
Six months ended
30 June 2017
Balance at 1 January
2017 (audited) 1,846 29,140 10,210 615 (35,047) 6,764
Profit and total
comprehensive income - - - - 204 204
Transactions with
owners
- Share issue 239 2,124 - - - 2,363
- Options granted - - - - - -
- Options exercised/lapsed - - - - - -
--------- --------- --------- --------- ---------- --------
Transactions with
owners 239 2,124 - - - 2,363
--------- --------- --------- --------- ---------- --------
Balance at 30 June
2017 (unaudited) 2,085 31,264 10,210 615 (34,843) 9,331
--------- --------- --------- --------- ---------- --------
Six months ended
30 June 2016
Balance at 1 January
2016 as restated
(audited) 1,587 26,861 10,210 735 (33,465) 5,928
Loss and total comprehensive
income - - - - (780) (780)
Transactions with
owners
- Share issue 259 2,279 - - - 2,538
- Options granted - - - 73 - 73
- Options exercised/lapsed - - - - - -
--------- --------- --------- --------- ---------- --------
Transactions with
owners 259 2,279 - 73 - 2,611
--------- --------- --------- --------- ---------- --------
Balance at 30 June
2016 (unaudited) 1,846 29,140 10,210 808 (34,245) 7,759
--------- --------- --------- --------- ---------- --------
Eden Research plc
Statement of cash flows for the six months ended 30 June
2017
Six months Six months
Year ended
ended ended 31
30 June 30 June December
2017 2016 2016
GBP '000 GBP '000 GBP '000
unaudited unaudited audited
Cash flows from operating
activities
Cash outflow from operations
(note 5) (16) (598) (983)
Tax credit received - - 82
Net finance charges
paid - - (16)
----------- ----------- -----------
Net cash used in operating
activities (16) (598) (917)
Cash flows from investing
activities
Capitalisation of development
expenditure (218) (83) (238)
Finance income 2 2 1
----------- ----------- -----------
Net cash used in investing
activities (216) (81) (237)
----------- ----------- -----------
Cash flows from financing
activities
Share issue costs (35) (131) (131)
Issue of equity shares 2,398 2,669 2,669
----------- ----------- -----------
Net cash from financing
activities 2,363 2,538 2,538
----------- ----------- -----------
Increase/(decrease)
in cash and cash equivalents 2,131 1,859 1,384
Cash and cash equivalents
at
beginning of period 1,532 148 148
----------- ----------- -----------
Cash and cash equivalents
at
end of period 3,663 2,007 1,532
=========== =========== ===========
Cash and cash equivalents comprise bank account balances.
Notes to the Interim Results
1. The information in these financial statements does not
constitute statutory accounts as defined in section 434 of the
Companies Act 2006 and is un-audited. These financial statements
have been prepared in accordance with the AIM rules, and IAS 34 has
not been adopted. A copy of the Company's statutory accounts for
the period ended 31 December 2016, prepared under International
Financial Reporting Standards as adopted by the European Union, has
been delivered to the Registrar of Companies and are available on
the Company's website. The auditors' report on those accounts was
unqualified and did not contain statements under section 498(2) or
section 498(3) of the Companies Act 2006.
2. Nature of operations and general information
Eden Research is a technology development and commercialisation
company with intellectual property and expertise in encapsulation,
terpenes and environmentally friendly technologies to provide
naturally occurring solutions for the global agrochemicals, animal
health, and consumer product industries.
Eden's encapsulation technology harnesses the biocidal efficacy
of naturally occurring chemicals produced by plants (terpenes) and
can also be used with both natural and synthetic compounds to
enhance their performance and ease-of-use. The technology uses
yeast cells that are a by-product of numerous commercial production
processes to deliver a slow release of natural compounds for
agricultural and non-agricultural uses. Terpenes are already widely
used in the food flavouring, cosmetics and pharmaceutical
industries.
Historically, terpenes have had limited commercial use in the
agrochemical sector due to their volatility, phytotoxicity and poor
solubility. Eden's platform encapsulation technology provides a
unique, environmentally friendly solution to these problems and
enables terpenes to be used as effective, low-risk
agrochemicals.
Eden is developing these technologies through innovative
research and a series of commercial production, marketing and
distribution partnerships.
3. Accounting Policies
Basis of Preparation
These interim condensed consolidated financial statements are
for the six months ended 30 June 2017. They have been prepared
following the recognition and measurement principles of IFRS. They
do not include all of the information required for full annual
financial statements, and should be read in conjunction with the
financial statements of the company for the year ended 31 December
2016.
These financial statements have been prepared on the going
concern basis and under the historical cost convention.
Going Concern
The financial statements have been prepared on a going concern
basis which contemplates the realisation of assets and the
settlement of liabilities in the ordinary course of business.
The Company has reported a profit for the period after taxation
of GBP204,000 (2016: GBP780,000 loss). Net current assets at that
date amounted to GBP3,547,000 (2016: GBP1,647,000).
The directors have prepared budgets and projected cash flow
forecasts, based in part on forecasts provided by Eden's commercial
partners, for a period of two years from 30 June 2017 and they
consider that the Company will be able to operate with the cash
resources that are available to it for this period. The ability of
the Company to continue as a going concern is ultimately dependent
upon the amounts and timing of cash flows from the exploitation of
the Company's intellectual property and the availability of
additional funding to meet the short term needs of the business
until the commercialisation of the Company's portfolio is
reached.
The forecasts adopted only include revenue derived from existing
contracts and, while there is a risk these payments might be
delayed if milestones are not reached, there is also potential
upside from on-going discussions and negotiations with other
parties, as well as other "blue sky" opportunities.
In addition, the Company has relatively low fixed running costs
and has a demonstrable ability to delay certain other costs, such
as the forecast Research and Development expenditure, in the event
of unforeseen cash constraints.
The directors have also considered a scenario whereby the
Company receives no revenue from the date of this Report. On this
basis, the directors believe that the Company has sufficient cash
to cover a period of at least 12 months from the date of this
Report.
The directors have been and will continue to closely monitor
performance against cash flow projections that have been prepared
for the period to 30 June 2019, and beyond, and are confident that
the Company will be able to rely on the necessary cash resources at
least at the levels referred to above.
On this basis, the directors consider it appropriate to prepare
the financial statements on the going concern basis. The financial
statements do not include any adjustments that would result from a
failure by the Company to meet these forecasts.
These condensed consolidated interim financial statements have
been prepared in accordance with the accounting policies adopted in
the last annual financial statements for the year to 31 December
2016, except for the application of the following standards at 1
January 2017:
-- IFRS 13 "Fair Value Measurements" (IFRS 13)
-- Annual Improvements 2009-11 (Annual Improvements)
The accounting policies have been applied consistently for the
purposes of preparation of these condensed interim financial
statements.
Copies of the interim statement are available from the Company
at its registered office, 6 Priory Court, Priory Court Business
Park, Poulton, Cirencester, Gloucestershire, GL7 5JB, as well as on
the Company's website.
4. Profit/(loss) per share
Six months Six months
ended ended Year ended
30 June 30 June 31 December
2017 2016 Pence 2016
Pence unaudited Pence
unaudited audited
Profit/(loss) per ordinary
share (pence) - basic
and diluted 0.11 (0.44) (1.03)
=========== ============ =============
Profit/(loss) per share has been calculated on the net basis on
the profit after tax of GBP204,000 (30 June 2016: loss GBP780,000,
31 December 2016: loss GBP1,831,000) using the weighted average
number of ordinary shares in issue of 184,654,119 (30 June 2016:
178,432,719, 31 December 2016: 178,441,431).
Due to the average share price during the period being less than
the average exercise price of the options which were outstanding at
30 June 2017, there is no dilution arising from options in
existence.
5. Reconciliation of loss before income tax to cash used by operations
Six months Six months Year ended
ended ended 31 December
30 June 30 June 2016
2017 2016 GBP GBP '000
GBP '000 '000 unaudited audited
unaudited
Profit/(loss) before income
tax 204 (862) (1,913)
Share of associate's losses 3 2 12
Depreciation charges 387 337 680
Share based payment charge - 73 130
Finance costs - - 15
Finance income (2) (2) (1)
----------- ---------------- -------------
592 (452) (1,077)
Increase in trade and
other receivables (757) (74) (76)
Increase/(decrease) in
trade and other payables 149 (72) 170
----------- ---------------- -------------
Cash used by operations (16) (598) (983)
=========== ================ =============
6. Intangible assets
Intellectual Licences Development Total
property and trademarks Costs
GBP GBP GBP GBP
COST
At 1 January
2016 8,657 447 3,189 12,293
Additions - - 83 83
------------- ---------------- ------------ -------
At 30 June 2016 8,657 447 3,272 12,376
Additions 83 - 183 266
------------- ---------------- ------------ -------
At 31 December
2016 8,740 447 3,455 12,642
Additions - 115 103 218
------------- ---------------- ------------ -------
At 30 June 2017 8,740 562 3,558 12,860
============= ================ ============ =======
AMORTISATION
At 1 January
2016 5,132 368 1,250 6,750
Charge for the
period 219 9 108 336
------------- ---------------- ------------ -------
At 30 June 2016 5,351 377 1,358 7,086
Charge for the
period 220 7 117 344
------------- ---------------- ------------ -------
At 31 December
2016 5,571 384 1,475 7,430
Charge for the
period 220 8 159 387
------------- ---------------- ------------ -------
At 30 June 2017 5,791 392 1,634 7,817
============= ================ ============ =======
CARRYING AMOUNT
At 30 June 2017 2,949 170 1,924 5,043
============= ================ ============ =======
At 31 December
2016 3,169 63 1,980 5,212
============= ================ ============ =======
At 30 June 2016 3,306 70 1,914 5,290
============= ================ ============ =======
7. Investment in equity accounted investee
Six months Six months Year ended
ended ended
30 June 30 June 31 December
2017 2016 2016
GBP '000 GBP '000 GBP '000
unaudited unaudited audited
Percentage ownership
interest
and proportion of voting
rights 29.90% 29.90% 29.90%
GBP GBP GBP
Non-current assets 608 652 632
Current assets 190 98 92
Non-current liabilities (73) (100) (79)
Current liabilities (93) (20) (27)
-----------
Net assets (100%) 632 630 618
Company's share of
net assets 189 188 184
Separable intangible
assets 206 221 214
Goodwill 413 413 413
-----------
Carrying amount of
interest in associate 808 822 811
Revenue 148 105 145
Profit/(loss) from
continuing operations 13 14 7
Post tax profit from - - -
discontinued operations
100% of total post-tax
profits 13 14 7
29.9% of total post-tax
profits 4 4 2
Amortisation of separable
intangible assets (7) (7) (14)
----------- ----------- ------------
Company's share of profit/(loss) (3) (3) (12)
Other comprehensive - - -
income
100% - - -
29.90% - - -
Company's share of other - - -
comprehensive income
Total comprehensive
income (100%) 13 14 7
Company's share of total
comprehensive income (3) (3) (12)
Dividends received - - -
by the Company
8. Share based payments
Share Options
Eden Research plc operates an unapproved option scheme for
executive directors, senior management and certain employees.
Six months ended Six months ended
30 June 2017 30 June 2016
Weighted Weighted
average average
exercise exercise
price (pence) Number price (pence) Number
Outstanding at
the beginning
of the period 11 5,025,000 12 6,255,000
Granted during
the period - - 13 1,050,000
Exercised during
the period - - 13 (530,000)
Lapsed during
the period - - 13 (2,750,000)
11 5,025,000 10 4,025,000
The exercise price of options outstanding at the end of the
period ranged between 8p and 18p (30 June 2016: 8p and 18p) and
their weighted average contractual life was 1.4 years (30 June
2016: 1.9 years). None of the options have vesting conditions.
The weighted average share price (at the date of exercise) of
options that lapsed during the period was nil p (30 June 2016:
13p).
The share based payment charge for the period was GBPnil (30
June 2016: GBP73,300).
Warrants
Six months ended Six months ended
30 June 2017 30 June 2016
Weighted Weighted
average average
exercise exercise
price
price (pence) Number (pence) Number
Outstanding at
the beginning
of the period 14 5,497,867 14 5,497,867
Granted during
the period - - - -
Lapsed during
the period - - - -
14 5,497,867 14 5,497,867
The exercise price of warrants outstanding at the end of the
period ranged between 11p and 30p (30 June 2016: 11p and 30p) and
their weighted average contractual life was 1.7 years (30 June
2016: 2.6 years).
9. Exceptional royalties refund
In Eden's 2016 Report and Accounts, an accrual had been made of
GBP570,000, being minimum royalties due to University of
Massachusetts Medical School ("UMMS") under the licence agreement
Eden signed with UMMS in 2011. Eden successfully re-negotiated some
of the terms of the licence with UMMS and, as such, the full amount
accrued has been credited to the Income Statement.
Other notes:
Eden Research is a technology development and commercialisation
company with intellectual property and expertise in encapsulation,
terpenes and environmentally friendly technologies to provide
naturally occurring solutions for the global agrochemicals, animal
health, and consumer product industries.
Eden's encapsulation technology harnesses the biocidal efficacy
of naturally occurring chemicals produced by plants (terpenes) and
can also be used with both natural and synthetic compounds to
enhance their performance and ease-of-use. The technology uses
yeast cells that are a by-product of numerous commercial production
processes to deliver a slow release of natural compounds for
agricultural and non-agricultural uses. Terpenes are already widely
used in the food flavouring, cosmetics and pharmaceutical
industries.
Historically, terpenes have had limited commercial use in the
agrochemical sector due to their volatility, phytotoxicity and poor
solubility. Eden's platform encapsulation technology provides a
unique, environmentally friendly solution to these problems and
enables terpenes to be used as effective, low-risk
agrochemicals.
Eden is developing these technologies through innovative
research and a series of commercial production, marketing and
distribution partnerships.
The Company has a number of patents and a pipeline of products
at differing stages of development targeting specific areas of the
global agrochemicals industry. To date, the Company has invested in
the region of GBP12m in developing and protecting its intellectual
property and seeking regulatory approval for products that rely
upon the Company's technologies. Revenues earned by the Company
have been modest whilst the Company has concentrated on securing
patent protection for its intellectual property, gaining regulatory
approvals, identifying suitable industrial partners, and entering
into commercial agreements.
In May 2013, the three actives that comprise Eden's first
commercial product, 3AEY, were approved as new ingredients for use
in plant protection products. This represented a major milestone in
the commercialisation of Eden's technology and is a significant
accomplishment for any company. To illustrate this point, one
should note that in all of 2013, Eden's approvals represented 3 of
only 10 new active ingredients approved by the EC.
3AEY has been authorised for sale in Kenya, Malta, Greece,
Bulgaria, Spain, Italy, France, Cyprus, Albania and Portugal.
Eden was admitted to trading on AIM on 11 May 2012 and trades
under the symbol EDEN.
For more information about Eden, please visit:
www.edenresearch.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR GMGZLGLVGNZM
(END) Dow Jones Newswires
September 29, 2017 06:15 ET (10:15 GMT)
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