New Physiomics board launches wide-ranging company review

(Sharecast News) - Physiomics said on Friday that its newly-appointed board had started a wide-ranging review of the business focused on operational optimisation, commercial execution and shareholder value creation.

The AIM-traded mathematical modelling, data science and biostatistics company said the board believed Physiomics had "underappreciated strengths", including an established scientific platform, respected industry relationships and a commercial pipeline it described as robust, dependable and capable of growth.

It said immediate priorities included disciplined capital allocation and strict cost control. All new directors had agreed to receive part of their remuneration in Physiomics shares, expected to be issued annually by reference to the prevailing mid-market share price.

The company said the aggregate cash cost of board remuneration and the finance function was expected to remain broadly unchanged.

Physiomics said chief executive Peter Sargent had been "accommodating, professional and supportive" during the transition, with discussions ongoing over a potential extension of his contract.

Ian Bagnall would move to an executive role as finance director and company secretary with immediate effect.

The board said it had already identified additional commercial opportunities and strategic targets that could be pursued within existing budgets and could materially improve the company's medium-term prospects.

It was also considering further board appointments to strengthen operational capability and independent governance.

Physiomics also rejected what it described as recent unfounded market speculation over alleged substantial exit packages for former personnel, saying no payments had been made outside contractual entitlements to former directors or employees.

The company said its initial assessment was that the balance sheet provided sufficient cash runway into 2027, adding that there was a "substantial opportunity" to enhance operations, optimise resources and improve commercial delivery while maintaining its scientific credibility and client service standards.

Executive director Mike Whitlow said the board had "always believed that Physiomics possesses significant potential" and was increasingly encouraged by the quality of the company's scientific capabilities and the strength of its commercial pipeline.

"The board sees a clear opportunity to introduce stronger commercial focus, tighter operational discipline and a more dynamic growth strategy, while maintaining the high scientific standards for which Physiomics is recognised," he said.

At 1151 BST, shares in Physiomics were up 11.6% at 0.56p.

Reporting by Josh White for Sharecast.com.

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