Avacta Group announced its interim results for the period ended 31 July 2019. Revenues of £4.1m were greater than expected due to recognition of an up-front milestone payment of $2.5m from LG Chem Life Sciences. Operating loss was £11.2m due to significant investment in research and development.
Combined revenue and order intake of £1.2m in Affimer Research and Diagnostics Reagents demonstrates strong growth at 130% and strong business development pipeline into FY 2020.
Separately, the company announced a fundraising to raise gross proceeds of up to £9m to deliver the next key value inflection points. The issue price is at a discount of about 11.8% to the closing price of the ordinary shares on AIM to 17 October 2019, being 17p per ordinary share.