TIDMTYR TIDMTYRU
RNS Number : 9500O
TyraTech, Inc.
23 May 2018
For release: 7.00am, 23 May 2018
TYRATECH, INC.
("TyraTech" or the "Company")
Results for the Year Ended 31 December 2017
TyraTech Inc. (AIM: TYR, and TYRU), the life sciences company
focused on nature-derived insect and parasite control products,
today announces its results for the year ended 31 December
2017.
Financial and Operational highlights
-- Sale of Vamousse(R) brand to Alliance Pharma PLC for initial
cash consideration of $13 million and a
further $4.5 million conditional on future sales targets.
-- Major global consumer products company to commercialise a
range of pesticide-free insect control household products with
Envance LLC (TyraTech's JV with American Vanguard Corporation).
-- Cash at 31 December 2017 $14.4 million
-- Strong growth in total revenue from continuing operations to
$1.2 million (2016: $0.7 million).
-- Product revenue from continuing operations grow 169% (2017:
$0.9 million, 2016: $0.3 million).
-- Net loss from continuing operations reduced by $0.6 million
(2017: $3.9 million, 2106: $4.5 million).
Post period highlights
-- Tender Offer settled for approximately $8.4 million at 3p per share.
-- After completion of Tender Offer and transaction related
costs, approximately $5.2 million available for
continuing operations in 2018.
-- Further growth in continuing operations with unit sales of
Poultry Mite Dust more than doubling (moving
annual total) and plans for expansion into Europe this year.
-- Sharp growth in sales of Outsmart(TM) equine fly repellant.
-- Encouraging results in first animal studies in the much
larger markets for the treatment of internal
parasites in food production animals.
Commenting on the results, José Barella, Chairman of TyraTech
said:
"I believe that the sale of Vamousse is a clear validation of
our ability to create value through the development of
nature-derived products, which are both safe and effective. Our
objective is now to reproduce the technology and business success
we had in the human health and household products segments, in the
larger markets of animal health.
The recent progress made in the development of innovative
solutions to producers of animal proteins are encouraging and
represent the first steps in fulfilling our mission: to provide
innovation and new products for food producers based on pioneering
scientific research. We are ideally placed to answer this growing
customer demand for clean food without pesticides"
Bruno Jactel, Chief Executive of TyraTech added:
"We are pleased to show that, in a short period of time, we are
making significant progress in developing new products and
solutions for some of the largest animal health market segments and
to answer some of the biggest un-met needs.
Now that we have set-up our new strategic focus, all our efforts
will be concentrated on rolling-out the commercialization of
existing products in the US and in other countries, and developing
new products for some of the biggest animal health market segments.
Our clear short-term objective is generating sales of existing
products and reaching the most significant product development
milestones."
The information communicated within this announcement is deemed
to constitute inside information as stipulated under the Market
Abuse Regulations (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
For further information:
TyraTech Inc.
Bruno Jactel, Chief Executive Tel: +1 919 415
Officer 4340
Erica H. Boisvert, Chief Financial Tel: +1 919 415
Officer 4287
www.tyratech.com
SPARK Advisory Partners Limited
(Nominated Adviser) Tel: +44 20 3368
Matt Davis / Mark Brady 3551
WH Ireland Limited (Broker)
Adrian Hadden / Chris Viggor Tel: +44 20 7220
1666
Belvedere Communications (PR)
John West / Kim van Beeck Tel: +44 20 3567
0510
Chairman's Statement
In 2017, we focused heavily on establishing our strategy for the
next 5 years and implementing the decision made by the Board to
divest its Vamousse(R) product range, concentrating our efforts in
the bigger animal health market.
Consequently, on the 28th of December 2017, TyraTech
shareholders approved the sale of the Company's human lice products
brand, Vamousse, to Alliance Pharma PLC (AIM: APH) for an initial
cash consideration of $13 million, of which $8.4 million was
returned to shareholders by way of a tender offer at 3 pence per
share. The Company may also be entitled to further payments of up
to $4.5 million based on the achievement of agreed sales
performance targets for Vamousse in 2019 and 2020. Alliance intends
to expand product sales through additional marketing and commercial
investment.
This sale, representing a valuation close to three times the
discontinued operations Vamousse brand net revenue for 2017, is a
strong endorsement of our technology and followed our announcement
in July 2017 that one of the largest consumer products companies in
the world had entered an agreement with Envance Technologies LLC
(our J.V. with American Vanguard Corporation) to commercialise a
range of household pest control products based on TyraTech's
technology.
We believe that these transactions are a clear validation of our
ability to create value through the development of nature-derived
products, which are both safe and effective. Our objective is now
to reproduce the technology and business success we had in the
human health and household products segments, in the larger markets
of animal health.
In the aftermath of the Second World War, a fast-growing
population needed increased quantities of cheap food. The chemical
revolution provided the producers with the necessary tools to reach
this goal, using it in raising animals with new generations of
antibiotics, hormones and pesticides. The world has changed
dramatically in the 21st century. Consumers, particularly
millennials and aging baby boomers are asking for better quality
and healthier food. Producers of animal protein are facing a new
equation: providing food in quantity but without the use of
artificial chemicals.
TyraTech's mission, to provide innovation and new products for
food producers based on pioneering scientific research, is ideally
placed to answer this growing customer demand for clean food
without pesticides. We are encouraged by the major milestones
achieved in early stage development of products for the much larger
markets in the treatment of internal parasites, as outlined in the
Chief Executive's statement below, and as highlighted in the
shareholder circular of 4th December 2017, we intend to raise funds
to pursue these substantial opportunities. To this end, a range of
options is being actively pursued.
Finally, I would like to thank our shareholders, our partners,
our Board and the members of TyraTech's team for their support
during 2017 for achieving the successful sale of the Vamousse brand
and pivoting the Company to a new start in the larger market of
animal health and sustainable agriculture. It has been a lot of
work and effort, but we are now fully focused on a new chapter for
the Company and dedicated to making this journey a success for all
stakeholders.
José Barella
Non-Executive Chairman
23 May 2018
Chief Executive Business Review
Operational update
Following the successful sale of our Vamousse(R) personal care
range and the strategic decision to concentrate on animal health
markets, our operational goals at the end of 2017 were to expand
the penetration of the products already launched and to jump-start
our development pipeline, focusing on products targeting the bigger
markets of controlling internal parasites in production animals.
For the beginning of the year 2018, we can report progress on all
these fronts.
Poultry
We are rolling-out our PureScience(TM) product to control mites
on chickens in the USA. Mites are one of the most significant pests
in laying chickens, with a prevalence ranging from 60% in the US to
90% in Europe causing close to $1billion in lost productivity to
the egg production industry worldwide. With this product, we have
already achieved: nationwide distribution in the USA with MWI
Animal Health (the biggest distributor of animal health products in
the US); high penetration rate (estimated at 60%) with CalMaine
Foods Inc. (Nasdaq: CALM), the biggest producer of eggs in the US;
solid contribution margin for our product; and positive economic
return on investment for producers which could recover the cost of
the mite treatment in less than a week. Starting from a modest
base, unit sales to the producers have more than doubled versus
last year on a moving annual total basis and are still growing
steadily. This number shows repeat purchase and evolution from
treatment to prevention. We expect to grow the business in the US,
even if it is a small market segment of less than $5 million, by
expanding our market penetration to other major egg producers.
We are in the process of expanding the usage of our PureScience
Poultry Mite Dust to Europe where the market is larger, estimated
at $40 million. Egg producers in Europe are affected by a different
type of mite (the "red mite"), which is more difficult to eradicate
and is present more often in egg production facilities. We are
pleased to report that our field studies have shown that our
product provides up to 90% control of red mites for up to 4 months
in layers after one treatment. This positions us very favorably
versus competing products that are either more expensive or less
effective. Furthermore, we have already registered our product in
France, Germany and the Czech Republic and identified potential
distribution partners. We are on track to launch our PureScience
poultry mite product in France and Germany by the end of the
year.
A major objective of the PureScience business is to set-up our
commercial operations and relationships with poultry producers so
as to create a streamlined distribution system for the future new
products, addressing larger market segments and overcoming the high
barriers to entry in the industrial production of chickens and
eggs.
Equine
Sales of our equine fly repellent product, OutSmart(R), to our
partner SmartPak(R) are up sharply in the first part of 2018 over
the same period in 2017. SmartPak is launching a new product this
year, a roll-on formulation specifically designed to apply the
product on sensitive areas of the horses (around the eyes, on the
face). As with Vamousse, we benefit from positive customer feedback
that highlights the unique combination of safety and efficacy of
SmartPak, that offers a full protection against flies over 5 hours,
as well as protection against mosquitoes and ticks. Those are
strong differentiators from our chemical pesticide competitors that
provide a shorter protection against flies due to resistance and
are less effective against ticks, potential vectors of severe
diseases. Despite a good start, we do not expect a strong fly
season due to the sustained cold weather.
DEET-free Insect Repellent
For Guardian, our DEET-free mosquito and tick repellent, we
decided not to invest in the short term in its commercialization
but rather dedicate our resources to follow the EPA registration
process. The objective is to seek stronger health claims which
would allow us to compete more effectively with the major players
in the category. We are currently optimizing the formulation to
ensure the best possible combination of efficacy, safety and
cosmetics before entering the formal preparation of the
registration dossier. We are in the lab test phase of these new
formulations, before moving to field testing in the summer.
Major milestones in New Products for internal parasites
In parallel to boosting our commercialization efforts, we have
focused our R&D team on the development of products to control
internal parasites in animals, which represents an addressable
worldwide market of $4 billion.
Poultry
We are first focusing our development pipeline on the control of
coccidiosis, a protozoan parasite of poultry. Coccidiosis, a
parasite of the guts in poultry, is very common. The worldwide
market for products to control coccidiosis is estimated at $1
billion annually and current chemical or biological solutions are
not satisfactory.
Two independent in-vitro tests conducted by North Carolina State
University and Virginia Polytechnic Institute and State University
with TyraTech's formulations showed a significant control (up to
98% depending on the dose) of Emeria (the agent of coccidiosis) and
Histomonas meleagridis (a similar parasite to coccidiosis). In a
further independent study, results showed that, when administered
to chicken, our formulation can significantly reduce the severity
of the lesions caused by coccidiosis. This is a preliminary probe
study that needs further confirmation but represents a significant
milestone showing the potential activity of our formulation against
coccidiosis in the target animal.
Ruminants
Second, we will direct our development effort on controlling
intestinal and stomach worms in ruminants, a worldwide market
valued at $3 billion. After multiple in-vitro studies demonstrated
that TyraTech's specifically designed formulations controlled
several species of intestinal worms, a pivotal in-vivo study was
conducted on pigs, independently managed by the University of
Georgia (USA). It showed that our product significantly reduced the
load of worms in the pigs by 70%. Although more studies will be
needed to optimize the formulations and demonstrate that they are
also effective in ruminants, it is a significant milestone that
shows activity of our formulations when administered to the
animal.
Financials
The sale of the Vamousse brand represented $6.3 million in 2017
net revenue for discontinued operations. Our product revenue in
continuing operations, while modest in 2017, reached $0.9 million,
an increase of 169% over 2016, which reflects the traction that our
products have with equine owners and poultry producers. We are
seeing that this trend continues at the beginning of 2018 in
parallel with our focus now on the animal health market.
As of 31 December 2017, the Company had approximately $14.4
million in cash and cash equivalents. Approximately $8.4 million
was distributed to shareholders in January 2018 via settlement of a
Tender Offer. Expenses associated with the Tender Offer of
approximately $0.8 were also settled subsequent to the year end,
resulting in approximately $5.2 million being available for
continuing operations at the beginning of 2018.
Outlook and Summary
For 2018, our commercial focus will be to expand to other
significant producers our poultry products launched in the US and
launch these products in selected countries in Europe. Our product
development pipeline will follow a traditional stage-gate process,
with one of the most critical milestones being confirming that the
efficacy demonstrated in-vitro in the lab can be confirmed in-vivo
in the animal. This will be our focus for the coming year.
To optimize our existing resources, the operations will stay
focused in the short term on generating sales of existing products
and reaching the most significant product development
milestones.
Bruno Jactel
Chief Executive Officer
23 May 2018
Financial Overview
In 2017, the Board implemented a strategic objective to focus
efforts in the animal health market, resulting in the divestiture
of the Company's Vamousse(R) brand. Consequently, on the 27th of
December 2017, TyraTech shareholders approved the sale of the
Company's human lice products brand, Vamousse, to Alliance Pharma
PLC (AIM: APH) for an initial cash consideration of $13 million, of
which $8.4 million was returned to shareholders by way of a tender
offer at 3 pence per share. The Company may also be entitled to
further payments of up to $4.5 million based on the achievement of
agreed sales performance targets for Vamousse in 2019 and 2020.
As of the effective date of sale, operations of Vamousse are
reflected as discontinued operations pursuant to the provisions of
Accounting Standards Codification (ASC) 205, Presentation of
Financial Statements, for all periods presented.
Revenue
Overall, total revenue for 2017 was $1.2 million versus $0.7
million in 2016. Of this, product revenue was $0.9 million compared
to $0.3 million in 2016, an increase of 169 percent. This increase
in product revenue is primarily a result of the full launch of
OutSmart equine fly repellent and expansion of distribution of our
PureScience product to control mites.
Cost of Revenue, Gross Profit, and Gross Margin
Overall, cost of revenue for 2017 was $0.8 million versus $0.3
million in 2016. Product cost of revenue was $0.6 million and $0.2
million for 2017 and 2016, respectively; while collaborative cost
of revenue was $0.2 and$ 0.1 million respectively.
Gross profit for 2017 was $0.4 million (gross margin 37 percent
on revenue) versus $0.3 million (53 percent on revenue) in 2016.
Gross margin decreased in 2017 due primarily to a write off of
obsolete inventory of approximately $0.2 million.
In 2017, product gross profit was $0.3 million or 34 percent on
revenue versus $0.1 million or 45 percent on revenue in 2016.
Operating Performance
Operating costs and expenses for 2017 were $4.8 million versus
$4.9 million in 2016. General and Administrative expenses decreased
by $0.3 million; however, we invested an additional $0.1 million
each in Research and development and Business development,
resulting in a year over year decrease of $0.1 million in operating
expense.
Net of non-cash and other one-time expenses, operating costs and
expenses were approximately $4.5 million and $4.7 million in 2017
and 2016, respectively, a decrease of $0.2 million.
The loss from continuing operations for 2017 was $4.4 million
versus $4.5 million in 2016, and the net loss, before and after
taxes, from continuing operations for 2017 was $3.9 million versus
$4.5 million in 2016. In 2017, the main driver of the approximately
$0.5 million difference between loss from continuing operations and
net loss, before and after taxes, from continuing operations was
the income received from Envance for the sale of the Floorwash
IP.
Balance Sheet
At 31 December 2017 and 2016, cash and cash equivalents were
$14.4 million and $1.8 million, respectively.
Working capital was $13.2 million at 31 December 2017 versus
working capital of $2.3 million at 31 December 2016. The $10.9
million increase is attributable primarily to the sale of the
Vamousse brand as of 28 December 2017.
At 31 December 2017 shareholders' equity was approximately $13.7
million versus $2.7 million at 31 December 2016. The $11 million
increase was primarily due to the sale of the Vamousse brand as of
28 December 2017.
Discontinued Operations
Net income from discontinued operations comprised the following
(in thousands):
2017 2016
---------------- ----------------
Net Revenue $ 6,248 $ 6,559
Cost of Revenue (2,026) (2,086)
Costs and
Expenses (1,792) (2,276)
---------------- ----------------
Income from discontinued operations
before income taxes 2,430 2,197
Income tax
expense - -
---------------- ----------------
Income from discontinued operations,
net of income taxes 2,430 2,197
Gain on sale of assets from
discontinued operations 12,160 -
---------------- ----------------
Net income from discontinued
operations $ 14,590 $ 2,197
================ ================
Net income from discontinued operations includes inventory
allowances, broker commissions and other termination costs related
to the disposal. No income tax is recognized on Discontinued
Operations due to the use of legacy loss carryforwards. On 28
December 2017, the Company completed the sale of the Vamousse brand
for a cash payment of $13 million. Additionally, at sale
completion, the Company received cash of $0.5 million for inventory
sold at cost.
Assets and liabilities related to discontinued operations are as
follows (in thousands):
2017 2016
--------- -------
Inventory, net $ 62 $ 651
Accounts payable (200) -
Accrued liabilities (91)
Net (Liabilities)
Assets $ (229) $ 651
========= =======
Ongoing costs related to discontinued operations will consist
primarily of warehouse and shipping costs for discontinued
inventory.
Cash Flow and Liquidity
Net cash used in operations was $0.6 million in 2017 compared to
$1.9 million for 2016, an improvement of $1.3 million. This
improvement was primarily the result of the sale of the Vamousse
brand and the sale of the Floorwash IP to Envance.
Net cash provided by investing in 2017 was approximately $13.2
million representing $0.5 million received for the sale of IP to
Envance along with $13.0 million received from the sale the
Vamousse brand, netted against the $0.3 million expense for
intangible acquisition costs. For 2016, net cash used in investing
represents $0.2 million, resulting primarily from the
capitalization of intangible assets.
Net cash provided by financing activities was $0.0 million for
2017 (2016: $0.0 million).
As of 31 December 2017, the Company had approximately $14.4
million in cash and cash equivalents. The Company had no
indebtedness as of 31 December 2017 but currently has no committed
external sources of funds. Under the terms of the Tender Offer as
set out in the Shareholder Circular dated 4 December 2017, in
January 2018, approximately $8.4 million was distributed to
shareholders who had tendered shares. Expenses associated with the
Tender Offer of approximately $0.8 were also settled subsequent to
the year end, resulting in approximately $5.2 million being
available for continuing operations as of 4 January 2018.
Based upon the Company's existing cash and cash equivalents, its
current operating plans, anticipated revenues from product sales
and other collaborative arrangements, and the ability to control
operating costs, the Company's forecast indicates it will have
sufficient cash to meet its working capital needs through the next
twelve months.
Currency Effects
In 2017, the Company had no material foreign currency risk.
Going forward, as the Company pursues current and future growth
opportunities in geographic regions outside the US, the foreign
currency risk may become material, at which time the Company may
evaluate the need to use financial derivatives to mitigate the
foreign currency risk.
Erica H. Boisvert
Chief Financial Officer
23 May 2018
TyraTech, Inc.
Consolidated Balance Sheets
in thousands, except for share data
---------------------------------------------------------------------
December 31, 2017 2016
------------------------------------------------ --------- --------
ASSETS
Current assets
Cash and cash equivalents $ 14,392 $ 1,755
Accounts receivable 1,036 985
Inventory, net 154 337
Prepaid expenses 84 162
Assets of discontinued operations 62 651
------------------------------------------------ --------- --------
Total current assets 15,728 3,890
Property and equipment, net of
accumulated depreciation 17 23
Intangible assets, net of accumulated
amortisation 452 300
Long term deposits 69 69
Total assets 16,266 4,282
------------------------------------------------ --------- --------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable 757 742
Accrued liabilities 1,492 501
Deferred revenue 37 298
Liabilities of discontinued operations 291 -
------------------------------------------------ --------- --------
Total current liabilities 2,577 1,541
Other long-term liabilities 20 20
---------
Total liabilities 2,597 1,561
------------------------------------------------ --------- --------
Commitments and Contingencies (Note
8)
Shareholders' equity
Common stock, at $0.001 par authorized
480 million; 367.7 million shares
issued, 366.6 million shares outstanding
(30 June 2015: Common stock, at
$0.001 par authorized 380 million;
262.3 million shares issued, 261.2
million shares outstanding)
shares issued, 366.6 million shares
outstanding as of
31 December 2017 and 2016 367 367
Additional paid in capital 92,263 92,053
Accumulated deficit (78,766) (89,460)
Accumulated other comprehensive
loss (82) (126)
Treasury stock of 1.1 million shares
as of 31 December 2017 and 2016 (108) (108)
Total shareholders' equity 13,674 2,726
------------------------------------------------ --------- --------
Non-controlling interest (5) (5)
--------- --------
Total shareholders' equity 13,669 2,721
Total liabilities and shareholders'
equity $ 16,266 $ 4,282
------------------------------------------------ --------- --------
TyraTech, Inc.
Consolidated Statements of Operations and Comprehensive
Income (Loss)
in thousands
---------------------------------------------------------------------------------------
Year Ended December 31, 2017 2016
---------------------------------------------- -------- -----------------------------
Revenue:
Product $ 872 $ 325
Collaborative 315 333
---------------------------------------------- -------- -----------------------------
Total revenue 1,187 658
Cost of revenue:
Product 573 180
Collaborative 180 129
---------------------------------------------- -------- -----------------------------
Total cost of revenue 753 309
---------------------------------------------- -------- -----------------------------
Gross profit 434 349
Costs and expenses:
General and administrative 2,787 3,045
Business development 762 735
Research and development 1,239 1,075
--------
Total costs and expenses 4,788 4,855
---------------------------------------------- -------- -----------------------------
Loss from continuing operations (4,354) (4,506)
---------------------------------------------- -------- -----------------------------
Other income:
Other income 2 30
Gain on related party sale of
intangible assets 456 -
---------------------------------------------- -------- -----------------------------
Total other income 458 30
---------------------------------------------- -------- -----------------------------
Loss from continuing operations
before income taxes (3,896) (4,476)
Income tax expense - -
---------------------------------------------- -------- -----------------------------
Net loss from continuing operations (3,896) (4,476)
---------------------------------------------- -------- -----------------------------
Discontinued Operations:
---------------------------------------------- -------- -----------------------------
Income from discontinued operations,
net of taxes 2,430 2,197
---------------------------------------------- -------- -----------------------------
Gain on sale of assets from discontinued
operations 12,160 -
---------------------------------------------- -------- -----------------------------
Net income from discontinued
operations 14,590 -
Net income (loss) $ 10,694 $ (2,279)
Other comprehensive income (loss):
Foreign currency translation
adjustments 44 (121)
------------------------------------------ --------- ----------
Comprehensive income (loss) $ 10,738 $ (2,400)
------------------------------------------ --------- ----------
Net (loss) income per common
stock - basic and diluted
Net loss from continuing operations $ (0.01) $ (0.01)
Net income from discontinued
operations $ 0.04 $ 0.01
------------------------------------------ --------- ----------
Net Income $0.03 $0.00
------------------------------------------ --------- ----------
Weighted average number of common stock
(000's)
Basic and diluted 366,582 366,582
------------------------------------------ --------- ----------
TyraTech, Inc.
Consolidated Statements of Shareholders' Equity
in thousands
-------------------------------------------------------------------------------------------------------
Accumulated
Additional Other
Common Paid-in Accumulated Treasury Non-controlling Comprehensive Total
Stock Capital Deficit Stock Interest Loss Equity
Balance as of
31 December
2015 $ 367 $ 91,896 $ (87,181) $ (108) $ (5) $ (5) $ 4,964
-------------- ------ ---------- ----------- -------- --------------- ------------- ------------
Stock based
compensation
- SARS - 157 - - - - 157
Foreign
currency
translation - - - - - (121) (121)
Consolidated
net loss - - (2,279) - - - (2,279)
Balance as of
31 December
2016 $ 367 $ 92,053 $ (89,460) $ (108) $ (5) $ (126) $ 2,721
-------------- ------ ---------- ----------- -------- --------------- ------------- ------------
Stock based
compensation
- SARS - 210 - - - - 210
Foreign
currency
translation - - - - - 44 44
Consolidated
net income - - 10,694 - - - 10,694
Balance as of
31 December
2017 $ 367 $ 92,263 $ (78,766) $ (108) $ (5) $ (82) $ 13,669
-------------- ------ ---------- ----------- -------- --------------- ------------- ------------
TyraTech, Inc.
Consolidated Statements of Cash Flows
in thousands
---------------------------------------------------------------------
Year Ended December 31, 2017 2016
--------------------------------------------- --------- -----------
Cash flows from operating activities:
Net income (loss) $ 10,694 $ (2,279)
Net income from discontinued operations 14,590 2,197
--------------------------------------------- --------- -----------
Net loss from continuing operations (3,896) (4,476)
Adjustments to reconcile net loss
to net cash used in
operating activities of continuing
operations:
Depreciation 9 17
Amortisation of intangible assets 58 56
Stock based compensation 210 157
Gain on related party sale of intangible
assets (456) -
Changes in operating assets and
liabilities:
Accounts receivable (24) 31
Inventory 216 (77)
Prepaid expenses and long-term
deposits 78 56
Accounts payable and accrued liabilities 959 33
Deferred revenue and other long-term
liabilities (261) 229
--------------------------------------------- --------- -----------
Net cash used in operating activities
of continuing operations (3,107) (3,975)
Net cash provided by activities
of discontinued operations 2,460 2,081
--------------------------------------------- --------- -----------
Net cash used in operating activities (647) (1,894)
--------------------------------------------- --------- -----------
Cash flows from investing activities:
Purchases of intangible assets (255) (227)
Purchases of property and equipment (2) (8)
Proceeds from related party sale
of intangible assets 500 -
--------------------------------------------- --------- -----------
Net cash provided by (used in)
operating activities of continuing
operations 243 (235)
Net cash provided by investing
activities of discontinued operations 13,000 -
Net cash provided by (used in)
investing activities 13,243 (235)
--------------------------------------------- --------- -----------
Change in cash and cash equivalents 12,596 (2,129)
Cash and cash equivalents, beginning
of year 1,755 3,955
Effect of exchange rate changes
on cash and cash equivalents 41 (71)
--------------------------------------------- --------- -----------
Cash and cash equivalents, end
of year $ 14,392 $ 1,755
--------------------------------------------- --------- -----------
Notes to Consolidated Financial Statements
(1) Basis of Preparation
The financial information set out in this document does not
constitute the Group's financial statements for the year ended 31
December 2017 or 31 December 2016. The annual report and financial
statements for the year ended 31 December 2017 were approved by the
Board of Directors on 23 May 2017 along with this preliminary
announcement. The financial statements for the year ended 31
December 2017 have been reported on by the Independent Auditor. The
Independent Auditor's report on the financial statements for 2017
was unqualified.
The financial information set out in this preliminary
announcement has been using accounting principles generally
accepted in the United States of America ("U.S. GAAP"). The
accounting policies adopted in these preliminary results have been
consistently applied to all the years presented and are consistent
with the policies used in the preparation of the financial
statements for the year ended 31 December 2016. The principal
accounting policies adopted are unchanged from those used in the
preparation of the financial statements for the period ended 31
December 2017. New standards, amendments and interpretations to
existing standards, which have been adopted by the Group, have not
been listed since they have no material impact on the financial
statements.
(2) Liquidity and Capital Resources
The Company's operations have been funded through a combination
of common stock issuances, product sales, collaborative
arrangements, and proceeds from technology licensing
agreements.
The Company's future capital requirements will depend on many
factors. For example, i) the level of product sales of the
Company's currently marketed products and any additional products
that may be marketed in the future; ii) the scope, progress,
results, and costs of development activities for current product
candidates; iii) the costs of commercialisation activities
including product marketing, sales, and distribution; and iv) the
costs of preparing, filing, and prosecuting patent applications and
maintaining, enforcing, and defending claims to intellectual
property.
As of 31 December 2017, the Company has approximately $14.4
million in cash and cash equivalents. The Company has no
indebtedness as of 31 December 2017.
The Company has produced monthly forecasts to the end of 2019,
which indicate the Company will have sufficient cash to meet its
working capital needs through the next twelve months from the date
these financial statements are issued based upon the following
forecast assumptions: existing cash and cash equivalents, its
current operating plans, anticipated revenues from product sales
and other collaborative arrangements, and the and the ability to
control operating costs.
(3) Discontinued Operations
On 28 December 2017, TyraTech shareholders approved the sale of
the Company's human lice products brand, Vamousse, to Alliance
Pharma PLC (AIM: APH) for an initial cash consideration of $13
million, of which $8.4 million was returned to shareholders by way
of a tender offer at 3 pence per share. The Company may also be
entitled to further payments of up to $4.5 million based on the
achievement of agreed sales performance targets for Vamousse in
2019 and 2020.
(4) Distribution of Annual Report and Financial Statements
Following distribution to stockholders of copies of its full
Annual Report and Financial Statements that comply with US GAAP,
copies will be available either from the registered office of the
Company (The Corporation Trust Company, 1209 Orange Street,
Wilmington, Delaware 19801, USA). Or from the Company's website:
www.tyratech.com.
(5) Cautionary Statement
Tyratech ('the group') has made forward-looking statements in
this preliminary announcement. The Group considers any statements
that are not historical facts as "forward-looking statements". They
relate to events and trends that are subject to risk and
uncertainty that may cause actual results and the financial
performance of the Group to differ materially from those contained
in any forward-looking statement. These statements are made in good
faith based on information available to them and such statements
should be treated with caution due to the inherent uncertainties,
including both economic and business risk factors, underlying any
such forward-looking information.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
FR FMGZKMZMGRZZ
(END) Dow Jones Newswires
May 23, 2018 02:01 ET (06:01 GMT)
Tyratech (DI) (LSE:TYRU)
過去 株価チャート
から 10 2024 まで 11 2024
Tyratech (DI) (LSE:TYRU)
過去 株価チャート
から 11 2023 まで 11 2024
