2009 Full Year Results
The cash balance was lower and the loss higher than anticipated as the final payment from Pure Power Global for the sale of the investment in BioJoule Limited was not received. Efforts to realise this debt are continuing. The net loss for the period includes provisions against the debt due from Pure Power Global of $2.1 million and the investment in Pure Power Global of $0.7 million, due to the uncertainty of realisation in current market conditions.
Genesis Chief Executive, Stephen Hall, said, “The new gene silencing technology has generated significant international interest from potential collaborators. Discussions are continuing with a number of parties, with the objective of generating funding for the programme.
“Interest continues to be shown by a number of potential licensees and collaborators for the Zyrogen antibody programme. A further animal study is expected to clarify the therapeutic potential for this programme.
“Since balance date Genesis has been granted an interest equal to approximately 10% of the current outstanding equity of Real Time Genomics, Inc., a new
As the current cash balance is not sufficient to fund the next 12 months operations, the basis of accounting has been changed from the usual ‘Going Concern’ basis to a ‘Cessation’ basis, as specified by accounting standards. This resulted in provisions and write-downs of $0.3 million. The auditors have given a qualified opinion because a provision has not been made for the full cost of the premises lease that is due over the next six years. The directors believe that this would be unreasonable, as it is highly likely that the premises could be sublet or the lease could revert to the landlord with no significant penalty, should the company cease to occupy the premises.
Founded in 1994, Genesis is a New Zealand-based biotechnology company. It has built a broad therapeutic development platform targeting immune disorders and cancer and is focusing on developing a novel gene silencing technology and RNAi therapeutics for oncology.
Genesis now holds 27 issued patents. The US Patent and Trademark Office has allowed claims for 10 of these, and the rest are from a number of other countries, including 6 from
Genesis also has royalty rights for various products that are being developed by other parties in the fields of agriculture, forage grass, forestry, horticulture, etc. resulting from previous collaborations.
For further information see www.genesis.co.nz
Stephen Hall, Chief Executive - Genesis Research and Development Corporation Limited, +64 21 715 725