The UK-based company reported sales of £55,000 in the six-month period ended June 30, all related to Guildford Pharmacology Unit Limited. These it said reflect "the start of a healthy upturn in business". The current external pipeline looking forward is said to be around £750,000.
In his communication to accompany the results, Percy Lomax, executive chairman of ReGen, said: "The interest in a biotech company at this stage of development is not mainly about the revenue figures, but in the company's development prospect." Indeed the year to date has been an exciting on for ReGen, with the signing of a licensing agreement with Metagenics in North America for Colostrinin neutraceutical for early stage cognitive decline, subject to completion of conditions and US regulatory approvals.
Colostrinin complex is derived from ovine and bovine colostrum (the first milk produced by a mammal after giving birth). A human nutraceutical containing Colostrinin is expected to come to market in the first half of 2007.
ReGen is also conducting research into pharmaceutical used of Colostrinin peptides and peptide mimetics for neurodegenerative diseases including Alzheimer's, Parkinson's and Multiple Sclerosis, and into potential new uses for zolpidem in relation to certain brain traumas.
In the six months to June 30, ReGen's development costs increased from £313,000 to £360,000. But the company trimmed back other expensed from £780,000 to £760,000. Lomax indicated that much of these savings came from trimming back salaries.
On Tuesday the company convened an Extraordinary General Meeting to propose resolutions that would renew shareholder authority to issue shares and/or other securities if future fundraising is required, and/or acquisitions of complementary businesses.
A spokesperson for ReGen told NutraIngredients.com that the resolutions were all approved. However for the meantime at least, there is no need for more funds.
Lomax said: "I am aware that there has been considerable speculation over financing needs and I am pleased to report that we now have over £1.2m of cash in the bank taking into account our placing in July, which raised £1.1m gross.
"Therefore the directors do not currently intend to raise further funds through a share issue."