BELFAST-based antibody developer Fusion Antibodies has completed what is says has been a "difficult" restructuring process, which has involved a new share placing to raise funds.
Some directors in turn have accepted shares in lieu of their salaries.
The contract research organisation, which provides discovery, design, and optimisation services for therapeutic antibodies to the global healthcare market, first revealed details of a cost savings and restructuring plan in May, at the time of a placing to raise approximately £1.67 million.
In a statement to the Stock Market on Monday, Fusion says it has undertaken and completed that restructuring process set out at the time of the placing to reduce annualised costs by approximately £2.2 million, and is now on track to realise all the intended savings outlined.
It says it continues to expend cash in a planned manner to grow the trading aspects of the business including the development of new services stemming from research and development projects.
As part of the cash saving measures, it is intended that certain directors at Fusion will be issued new ordinary shares in settlement for a portion of their salary.
Chief executive Dr Adrian Kinkaid said: “The recent restructuring, whilst difficult for all those involved, was required to ensure the business had the financial resources required to reach profitability.
“This is now the case, and we continue to focus on delivering the plan.”
Fusion Antibodies was established in 2001 as a spin out from Queen's University, and since 2012 it has successfully sequenced and expressed over 250 antibodies and successfully completed over 200 humanisation projects and has an international, blue-chip client base, which has included eight of the top 10 global pharmaceutical companies by revenue.
Its growth strategy is based on combining the latest technological advances with cutting edge science to deliver new platforms that will enable pharma and biotech companies get to the clinic faster, with the optimal drug candidate and ultimately speed up the drug development process.
The global antibody therapeutics market was valued at $135.4 billion in 2018 and is forecast to surpass $212.6 billion.
In 2017, seven of the world's 10 top selling drugs were antibody-based therapeutics, with the combined annual sales of these drugs exceeding $63.2 billion.
