(all figures are in Canadian dollars unless otherwise noted)
BELLEVILLE, ON, Sept. 27, 2013 /CNW/ - Bioniche Life Sciences Inc. (TSX:
BNC) (ASX: BNC), a research-based, technology-driven Canadian
biopharmaceutical company, today announced financial results for its
fiscal year ended June 30, 2013.
"The Company is undergoing a significant transition," said Graeme McRae,
President & CEO. "The pending divestment of the Animal Health business
and potential sale or partnering of the One Health/VMC business will
change the face of the Company into a human pharmaceutical business
with a Phase III bladder cancer product that could be selling in the
market within the next two years. It should be noted that this is one
of the few new bladder cancer technologies to have been developed in
decades and it has been taken from inception to late-stage by our
Company, and bladder cancer is the 4th most common cancer in North American men."
"The proceeds from the newly closed Canadian equity financing, along
with additional funds to be advanced under the Paladin loan and cash in
hand, will provide an approximate cash balance of $16 million," added
As a result of the Company's decision to divest the Animal Health
business, the Fiscal 2013 year-end financial statements have been
segmented into continuing operations (Human Health and One Health
business units) and discontinued operations (Animal Health business
Fiscal 2013 Financial Results Highlights
The Company's continuing operations recorded income of $82,000 in Fiscal
2013, related to research collaborations. This compares to $2.0 million
from this source in Fiscal 2012. In Fiscal 2012, the Company received
reimbursement from its former development partner for Urocidin™-related development costs. Such reimbursement was discontinued when the
Company regained global rights to Urocidin™ in December, 2012.
Fiscal year-end cash, cash equivalents and short-term investments
amounted to $4.2 million at June 30, 2013, as compared to $20.0 million
at June 30, 2012, when the Company had just completed a US$20 million
debt financing with Capital Royalty L.P. This reflects the debt from
Paladin and the adjustment of the Capital Royalty loan following a
renegotiation that was concluded in June, 2013.
The Company's total liabilities and shareholders' equity at June 30,
2013 is $61.5 million, as compared to $82.2 million at June 30, 2012.
The Company's consolidated cash flow used in operations for the year
ended June 30, 2013 was ($15.7) million, as compared to cash used in
operations of ($17.2) million in Fiscal 2012. The average monthly burn
rate was $1.3 million for Fiscal 2013, as compared to $1.4 million for
Fiscal 2012. Cash requirements to support financing have increased the
Company's average monthly burn rate to approximately $1.6 million per
month at the present time.