News Column

Advanced Oncotherapy Loss Widens As It Ramps Up Development Of LIGHT

June 30, 2014

Hana Stewart-Smith

LONDON (Alliance News) - Advanced Oncotherapy PLC Monday posted a widened loss in 2013, as it continued to ramp up ahead of the launch of its first LIGHT radiotherapy system at the beginning of 2016.

It posted a pretax loss of GBP3.4 million, widened from a loss of GBP1.9 million in the previous year, as revenue declined to GBP68,916 from GBP100,000, and administrative expenses ramped up. The company posted an impairment charge of GBP1.0 million for investment and development properties during the year.

The company said it had refined its strategy and operating model in the second half of the year, as market response to the company's product resulted in it reassessing its overall financing plans.

Advanced Oncotherapy raised GBP2.4 million in four equity placings during the year, and a further GBP6 million was raised after the year end. The company plans to use the funds raised to continue the development of the product.

The company has been bolstering up its senior management to drive the product to commercialisation, including the appointment of Sanjeev Pandya as its new chief executive after the year end.

The LIGHT radiotherapy system is based around technology Advanced Oncotherapy acquired in 2013 from ADAM SA, a spin-off company from the European Organization for Nuclear Research, known as CERN, in Geneva. The technology produces a proton beam that can be used to treat cancer.

The company said it signed eight agreements to provide the LIGHT system in the UK and US during the year, bringing its total order pipeline to GBP200 million.

In its Oncotherapy Resources Ltd business, the company noted there had been a delay in setting up a sales pipeline. However, its single-dose treatment for breast cancer has now commenced at a number of UK hospitals.

Shares in Advanced Oncotherapy were trading down 3.6% at 2.70 pence Monday morning.

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Source: Alliance News

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