Gunsynd Regulatory News (GUN)

23 Mar 2006 08:11

Syntopix Group plc23 March 2006 For immediate release 23 March 2006 SYNTOPIX GROUP PLC ("Syntopix" or "the Company") FIRST DAY OF DEALINGS ON THE AIM MARKET OF THE LONDON STOCK EXCHANGE Syntopix Group plc, (AIM: SYN) a drug discovery and development company focusedon dermatological diseases, announces its flotation on the AIM market of theLondon Stock Exchange today. Highlights of the Placing: • £4.0 million (£3.3 million net of expenses) has been raised for Syntopix via a placing at 177 pence per share • On admission the market capitalisation of Syntopix at the placing price will be £10.1 million • The proceeds of the placing will be used to finance the Company's drug development programmes in dermatology • KBC Peel Hunt Ltd is the Company's Nominated Adviser and Broker Business Highlights: • Syntopix was formed in 2003 as a spin-out from the University of Leedsto commercialise the research of the Company's two scientific founders, Dr JonCove and Dr Anne Eady, into antibiotic resistance and diseases of the skin. • Syntopix has a growing patent portfolio and a pipeline of nine drugcandidates awaiting preclinical and clinical trials in acne and MRSA. • The Company has a highly experienced scientific, commercial andnon-executive team who between them have a proven track record of developingpharmaceutical products and technology and have links with large pharmaceuticalcompanies. • The Company's Chairman is Dr Gwyn Humphreys, a founder and chiefexecutive of Bradford Particle Design Limited, one of the UK's most successfulspin-out companies sold for $200 million in January 2001 to Inhale TherapeuticSystems Inc. Syntopix' Chief Executive Officer is Rod Adams, who has extensiveexperience in running and building healthcare companies, particularly in thefield of dermatology. • The Company believes that the market for dermatological products,which has global annual sales of more than $10 billion and clear evidence ofunmet medical need, has suffered a lack of product innovation and there are manylimitations identified in some of the leading products. Syntopix' strategy seeksto reduce the cost and risk of successfully discovering and developingdermatology drugs by concentrating on change of use and combinations of knowncompounds. Commenting on the flotation, Rod Adams, Syntopix' Chief Executive Officer, said:"I am delighted by the response to the Syntopix flotation. Commencing life as apublic company is extremely exciting for us and we look forward to progressingour drug development programmes in dermatology and to generating value for ourshareholders." PLACING STATISTICS Placing Price 177 pence Number of Placing Shares 2,259,887 Number of Non EIS Shares and Non VCT Shares 1,785,307 Number of EIS Shares and VCT Shares* 474,580 Number of Ordinary Shares in issue on Admission 5,683,981 Market capitalisation of the Company at the Placing Price on Admission £10.1 million Placing Shares as a percentage of the Enlarged Issued Share Capital 39.8 per cent. Gross proceeds of the Placing receivable by the Company £4.0 million Net proceeds of the Placing receivable by the Company £3.3 million *Application has been made for admission of 474,580 Ordinary Shares in respect of the EIS Shares and the VCT Shares. Dealings are expected to commence in these Ordinary Shares on 24 March 2006. For further information please contact: Syntopix Group plc 0845 1259204 Gwyn Humphreys, Chairman Rod Adams, Chief Executive Officer www.syntopix.com KBC Peel Hunt Ltd 020 7418 8900 Megan MacIntyre Buchanan Communications 020 7466 5000 Mark Court, Tim Anderson, Mary-Jane Johnson Notes to editors About Syntopix Group plc Syntopix, a company focussed on the discovery and development of drugs for thetopical treatment of dermatological diseases, was founded in 2003 as a spin-outfrom the University of Leeds by Dr Jon Cove and Dr Anne Eady, two of the leadingexperts in skin microbiology, with initial funding from The Wellcome Trust. Syntopix' strategy is to seek to reduce the risks and costs of drug discoveryand development by discovering novel uses for known compounds; by concentratingon compounds and combinations of compounds that have a history of safe use; andworking with compounds that have known properties, for example antimicrobialsand anti-inflammatories. The Company currently has seven pending UK patentapplications. Syntopix is currently focussed on acne and Staphylococcus aureus infections andhas identified a pipeline of lead drug candidates that it intends to takethrough pre-clinical and, as appropriate, clinical trials. The Company intendsto out-license products to commercial partners on obtaining proof of principleand to seek co-development partnerships. The Company is based at the Institute of Pharmaceutical Innovation in Bradford,giving access to the expertise in skin biology, formulation and toxicology atthe universities of Bradford and Leeds. Syntopix' shareholders include Techtran Group Limited, a subsidiary of IP2IPOGroup plc, The Wellcome Trust Limited, University of Leeds Limited, White RoseTechnology Ltd and Ridings Early Growth Investment Company Limited. For further information please visit www.syntopix.com. This information is provided by RNS The company news service from the London Stock Exchange