12 Jun 2008 07:00
Amphion Innovations plc AGM Statement
London, UK, 12 June 2008 - Amphion Innovations plc (LSE: AMP) ("Amphion" or the "Company"), the developer of companies in the medical and technology sectors, announces that the following statement will be made today by Richard C.E. Morgan, Chief Executive Officer at the AGM at 10.00 am.
At the time of the preliminary results in March 2008, Amphion announced the strong progress made throughout 2007, reporting significant developments with each of the Partner Companies and a 29% rise in Net Asset Value ("NAV") to 22p per share. The Company also announced the addition of PrivateMarkets, Inc. as a new Partner Company, as well as significant progress with the establishment of two specialised entities, MSA Holding B.S.C. and DataTern, Inc.
Since the announcement of those results, Amphion and its Partner Companies have continued to make good progress and the NAV per share increased approximately 5% in the three months to March 31st. The NAV per share has increased further in the current quarter and is expected to record an advance in excess of 15% for the half year to the end of June. This is due to the continuous progress of our Partner Companies.
DataTern, Inc., despite being the most recently established of Amphion's Partner Companies, has made great progress and announced earlier this week that it has agreed to a non-exclusive license of its key data management patents to RedHat, Inc, the $4 billion NYSE listed software operator and developer. DataTern is wholly owned by Amphion, and was established to commercialise selected intellectual property opportunities that are generated by our Partner Companies' activities. Revenue directly attributable to Amphion from the RedHat license fee is approximately $800,000 after costs. Currently DataTern is in discussions with other major companies about other licenses to the same patents.
Myconostica, Ltd., a University of Manchester spin-out that specialises in a new type of diagnostic test for infectious diseases, particularly life-threatening respiratory fungal infections, successfully raised £5.4 million in an oversubscribed Series C financing at £40 per share. The capital raised in this round of financing will support the launch of Myconostica's initial two products. The first is the only real-time molecular diagnostic which simultaneously tests for both the potentially fatal Aspergillus and Pneumocystis, allowing for early treatment, which leads to a significant increase in survival rates. The second is a fungal DNA extraction system. The investment will also allow development of both the company team and further diagnostic tests targeting other critical fungal infections. Amphion now owns approximately 23% of the company, which, on the basis of the recent financing, is valued at £14 million.
On 10 June, 2008, Durham Scientific Crystals, Inc. rebranded itself as Kromek, Ltd. as part of its move to commercial maturity and product sales. Kromek recently raised £1.6 million at £8 per share in a Series J financing. At £8 per share, the company is currently valued at £46.5 million. These additional funds will enable Kromek to maintain the rapid development and commercialisation of it first products. Following this financing, Amphion now owns approximately 21% of Kromek.
PrivateMarkets, Inc. will soon initiate trading in electric power on its proprietary trading platform in Texas targeting a market that trades, on average, over $300 billion of electric power each year in the US alone. In April 2008, PrivateMarkets successfully raised $3.85 million in a Series A financing at $1.00 per share. Amphion now owns approximately 28% of PrivateMarkets, which is currently valued at $14.7 million.
Saydanah, one of two companies being developed by MSA Holding B.S.C. ("MSA"), has signed an agreement with WellGen, a Partner Company of Amphion. WellGen uses proprietary nutrigenomics technology to the discovery of food and dietary supplement ingredients from plants and foods for the health and wellness markets. Under the agreement, Saydanah will do preliminary research into the application of the WellGen technology and products in the Gulf Region. In addition, MSA's second company, Suvani, which offers systems integration and support services in Radio Frequency Identification in the Gulf region, has concluded a partnership with Amphion Partner Company, AXCESS International, Inc. Under this agreement Suvani will become the exclusive distributor of AXCESS' products in the Gulf Region. Amphion currently owns 50% of MSA.
Richard C.E. Morgan, Chief Executive Officer of Amphion, said:
"We are pleased by the continued progress made by Amphion and our Partner Companies over the last six months. The momentum is continuing and we expect to see further progress in the second half of 2008."
For further information please contact
Amphion Innovations plcCharlie Morgan, Director of Communications +1 212 210 6224 (New York)
Cardew Group Tim Robertson/ Jamie Milton/ Matthew Law +44 020 7930 0777 (London)
Charles Stanley Securities - Nominated AdviserMark Taylor / Freddy Crossley +44 20 7149 6000
About Amphion Innovations plc
Amphion (LSE: AMP) builds shareholder value in high growth companies in the medical and technology sectors, by using a focused, hands-on company building approach, based on decades of experience in both the US and UK. Amphion has significant shareholding in 10 Partner Companies developing proven technologies targeting substantial commercial marketplaces, each in excess of $1 billion. Each Partner Company is chosen with the goal of achieving an exit valuation in excess of $100 million.
On the web: www.amphionplc.com