The last time they made a significant platform upgrade was in 2011 - they had two moves for capital through the year with $5.4M in March-June & then $2.2M in December. The year also saw a milestone each for Roche & Pfizer + a Roche extension which helped to ease outflow using $6M throughout the calendar year. Cash out-flows have been cut back through 2013 but i'd say largely due to now only having one active partnership & dropping a directors salary from the board.
Thinking more about reference to Phenomica & still waiting 3 years later to see any move to commercialise it I actually think both are probably linked with Macrocyclic Technology integral to it's set up.
So back to the drawing board - it seems obvious the reason it went quiet and no obvious action in its formation comes back to funds. Supposedly they had partners / VC's "lining up" 2-3 years ago and ready to fund it but I assume management weren't happy with the wash out. NW said at the time they had suitors run the rulers putting a value to it pre-cash & come with a figure around $8-9M which would translate to say $4.5M for both Cambridge & PYC's 50% stakes. I imagine Phenomica is not something that can be set up with a low balance - $20M would be my guess at a base figure but once say that investment weighs against the valuation it washes both the 50% stakes down considerably --- i'd say management didn't want this but with high hopes to deliver on one or more of 4 the deals then active and run into the money themselves retaining a lions share of any spin-off -thus far no significant moves = still waiting for adequate funds. So again all back to Janssen now and hopes to translate that partnership into those funds or at least enough to contribute and keep percentage ownership up ?
It's a tricky game Phylogica have always had very exciting science but the problem has always been the ability to commercialise it.
It was very refreshing to note Hopkins closing line in the Herald Sun article last year - there's always been a lot of sugar coating in the past but it was welcome to see the CEO put it as it is.
"Potentially Phylogica's patent on nature is a gold mine, but turning it into cash has been problematic and even chief executive Dr Richard Hopkins admits it is risky"
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