Last checked at 31 Jul 2008 11:06
For release: 31st July 2008
EPISTEM TRADING UPDATE
Epistem (LSE:EHP), the UK biotechnology and contract research company, today updates the market on trading ahead of entering its close period. The Company is pleased to report that trading for the financial year ended 30 June 2008 was in line with market expectations. The Company expects to release its preliminary results on 6th October 2008, and intends to hold an analyst meeting on the day.
For further information, please contact:
Matthew Walls +44 (0)161 606 7258
Chief Executive Officer +44 (0)7887 501998
Epistem Plc.
http://www.epistem.co.uk/
Simon Brown / Gareth Price +44 (0) 207 426 9000
Landsbanki Securities
Anna Dunphy / Mike Wort +44 (0) 207 861 3838
Financial PR/IR
De Facto Communications
Notes to Editors:
About Epistem
Epistem is a biotechnology company commercialising its expertise in epithelial stem cells in the areas of oncology, gastrointestinal diseases and dermatological applications. Epistem develops innovative therapeutics and biomarkers and provides contract research services to drug development companies. The Group's expertise is focused on the regulation of adult stem cells located in epithelial tissue, which includes the gastrointestinal tract, skin, hair follicles, breast and prostate. Epistem does not conduct research in the areas of embryonic stem cells or stem cell transplantation.
Epistem operates three distinct business divisions, Contract Research Services, Novel Therapies and Biomarkers.
Contract Research Services
Contract Research Services provides specialised preclinical efficacy testing primarily for drug development companies on a 'fee for service' basis. This division on a standalone basis is cash generative and profitable with a seven-year track record of providing testing services to over 90 international company clients primarily in Europe and the United States.
Novel Therapies
Novel Therapies is focused on developing its own innovative therapeutics. Through its discovery platform, Novel Therapies has identified 250 potential drug candidates, of which a subset are undergoing further evaluation and characterisation as stem cell regulators for the Group's emerging drug development pipeline.
Biomarkers
The emerging biomarker technology leverages the Company's knowledge of the behaviour of epithelial cells and drug-induced gene expression change to measure drug effects during treatment. Changes in gene expression can be detected within hours and at low levels of chemotherapy or radiation. The highly sensitive Biomarker technology is based on using mRNA extracted from the bulb of cells at the base of a single hair follicle as a minimally invasive process to measure gene expression changes in epithelial tissue.
Combined Business Model
Epistem is exploiting its combined business model to advance its own therapeutic candidates to late preclinical stage development. The business model integrates the discovery efforts of Novel Therapies with the efficacy testing assays of its Contract Research Services Division, to identify and characterise new drug candidates. Revenues generated by Contract Research Services and Biomarkers will assist in offsetting Novel Therapies' investment requirements for the discovery and development of its lead therapeutics. The Directors believe that licensing partnerships will be forthcoming across the therapeutics, biomarkers and discovery platform in 2008.