Last checked at 26 Feb 2014 07:00
Venn Life Sciences Holdings Plc
("Venn" or the "Company")
Acquisition of the trading assets of Evocutis PLC
Venn Life Sciences (AIM: VENN), a growing Clinical Research Organisation (CRO) providing clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announces the acquisition of the intellectual property rights in Labskin™, SYN1113 and related equipment of Evocutis plc, for £210,000 in new ordinary shares in Venn.
Evocutis plc is a dermatology company that has developed an innovative skin substitute product called LabSkin™, which provides an alternative to animal testing. LabSkin™ looks, feels and behaves just like human skin and displays a barrier function similar to that of human skin. Since March 2013, it has become illegal to sell skincare or cosmetic products within the European Union that have been tested on animals. The Board of Venn believes that this regulatory change has opened a significant market opportunity for LabSkin™.
Venn is acquiring the intellectual property and know-how to produce LabSkin™, perform the specialised portfolio of contract research assays, in vitro skin models, skin microbiology expertise and clinical trial support services all focused entirely on dermatology. In addition, Venn will acquire the novel anti-acne compound SYN1113, which is a clinically proven and patented technology. Venn will out-license this technology through its division InnoVenn.
The consideration for this transaction will be £210,000, to be satisfied by new ordinary shares in the share capital of Venn calculated in accordance with the Disposal Agreement, a royalty of 7.5% on the gross sales of LabSkin™ for 3 years from date of acquisition, and a royalty of 25% on the future sale of or out-licence agreements for SYN1113.
The completion of the acquisition, which is conditional upon the shareholders of Evocutis plc approving the disposal of the intellectual property rights, is expected on 13 March 2014.
Commenting on the acquisition, Tony Richardson, CEO of Venn, said: "The acquisition of these ready to market innovative products and capabilities, which have the benefit of over ten years of research, further enhances our credibility in the area of skin science. In December 2013, we acquired CRM Clinical Trials GmbH, a CRO with a strong pedigree in the dermatology and skin science arena. The acquisition of these assets will allow us to deepen our capabilities in the skincare and cosmetic arena and position Venn as a key player in this sector.
"I am pleased that with the acquisition of SYN1113, InnoVenn has its first licensable technology. On admission to AIM in December 2012 we communicated to investors that we would hope to add some intellectual property value to Venn if this could be achieved in a capital efficient way and without complicating our core-business. We have identified potential licensees for SYN1113 and would expect to follow up with further technology initiatives in InnoVenn."
Enquiries:
Venn Life Sciences Holdings Plc. | ||
Tony Richardson, Chief Executive Officer | Tel: +353 154 99 341 | |
Paul Foulger, Finance Director | Tel: 020 7933 8797 | |
Orla McGuinness, Marketing Manager | Tel: +33 (0)1 30 82 67 07 | |
Zeus Capital (Nominated Adviser and Broker) | ||
Ross Andrews/Andrew Jones (Corporate Finance) | Tel: 0161 831 1512 | |
John Goold/Dominic Wilson/Alex Davies (Institutional Sales) | Tel: 020 7533 7727 | |
Walbrook PR Ltd | Tel: 020 7933 8787 or venn@walbrookpr.com | |
Paul McManus | Mob: 07980 541 893 | |
Lianne Cawthorne | Mob: 07584 391 303 | |
Additional Information:
About Venn Life Sciences Limited: www.vennlifesciences.com
Venn Life Sciences is a Clinical Research Organisation ("CRO") providing a suite of clinical trial management services to pharmaceutical, biotechnology and medical device organisations. With operations in France, Germany, Ireland, the Netherlands, Russia, the UK, and a branch office in Switzerland, the Venn Group also includes a Clinical Resourcing business placing experienced clinical teams and individuals on projects throughout Europe. The company's near term objectives are the expansion of its CRO business throughout Europe, whilst enhancing the portfolio of their innovative technologies division, InnoVenn, with ground breaking new products and services.
About Evocutis: www.evocutis.com
Evocutis plc is a dermatology company offering a unique combination of contract research for laboratory testing, advanced skin models and clinical testing, they provide a complete service for the development of skincare products and ingredients, enabling customers to develop products which actually work.