Comprehensive restructuring introduced
Integration of medical opinion leaders into post-marketing trial to increase acceptance of NanoTherm therapy
Strategic and distribution partnerships established
Cost savings expected to amount to million Euros due to a package of measures
Loss for the period reduced by 22% to 3.6 million
Berlin, Germany, October 1, 2012 - MagForce AG (Frankfurt, Xetra: MF6), a leading medical device company in the field of nanomedicine with a focus on oncology, today announced the financial results for the first half of the 2012 fiscal year, ending June 30, 2012. Simultaneously, the company released details of a package of measures (see today`s press release "MagForce to radically enforce market setup strategy with new management team"). With this restructuring, MagForce is completing a period of important strategic refocus.
"In the first half of the year, we laid out the basic requirements for the acceptance and future commercialization of our NanoTherm therapy, and for the future development of our company. Today we are concluding this phase of strategic focus with the introduction of vital measures and additions to the management team. Over the short term, we are concentrating all our efforts and financial resources on establishing NanoTherm therapy in the area of oncology and consequentially on the post-marketing clinical trial in glioblastoma. Together with strategic and distribution partners, we want to reinforce the commercialization of NanoTherm therapy, ensuring sufficient funding." commented Christian von Volkmann, CFO.
In the first half of the year, MagForce was able to successfully finalize distribution partnerships with DELRUS (Russia) and Tek Grup (Turkey), as well as a development partnership with the Mayo Clinic (USA).
During the reporting period, the company recorded a loss of 3.6 million (prior year period: 4.6million). The decline is essentially a result of the restructuring measures introduced at the end of 2011 and the accompanying strategic change. Personnel expenses decreased due to the reduction in staff, particularly in the second management level, as well as in commercial functions.
In the first half of the year, the company successfully raised 4.5 million by issuing new shares. After the reporting period end, two further capital increases took place with gross proceeds amounting to 665,000. The capital measures serve to safeguard liquidity and maintain business operations, as well as financing further business growth.
Original post:
MagForce publishes half-year report