LONDON (Alliance News) - Mereo Biopharma Group PLC on Friday reported a pretax loss as it progressed development of its clinical stage compounds in the first half of 2016, in its maiden results since listing on AIM in June.
The clinical stage biopharmaceutical company reported a pretax loss of GBP16.9 million for the half year to the end of June, mostly as a result of research and development expenses of GBP11.1 million.
Mereo raised GBP14.8 million in its listing, including a GBP11.4 million share float and a GBP3.5 million convertible loan from Swiss drugmaker Novartis AG. This supplemented the GBP76.5 million it raised in a private placement back in July 2015, when it bought three phase II product candidates from Novartis.
During the half it progressed these drugs, commending a phase 2 dose-ranging study for BCT-197 in chronic obstuctive pulmonary disease, a phase 2b dose-confirmation study for BGS-649 for hypogonadal hypogonadism in obese men, and progressing BPS-804 towards a phase 2b/3 trial in brittle bone disease.
It expects data from the BCT-197 and BGS-649 trials in the second half of 2017.
"We have made significant progress during the first half of 2016, delivering against all our key strategic priorities set in July 2015 at the time of the GBP76.5 million private financing when we acquired the initial product portfolio from Novartis. The successful admission of Mereo shares to the AIM market of the London Stock Exchange in June 2016 allowed us to raise a further GBP14.8 million bringing the total capital raised in just under 12 months to over GBP90 million," said Chief Executive Denise Scots-Knight in a statement.
Shares in Mereo Pharma were down 2.3% at 300.00 pence Friday. They listed at 221p.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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