Biotech specialist Byotrol making ‘good progress’

Biotech firm Byotrol reported good progress over the past 12 months, in a trading update to the market today.

The Daresbury-based firm, which specialises in fighting ‘superbugs’ such as MRSA, said the year to March 31 had been a year of “significant investment in both the business and its technologies.”

Following a further commercial agreement with chemicals giant Solvay, Byotrol said it expects earnings before interest, tax, depreciation and amortisation (EBITDA) for the year to be in line with market expectations.

The Solvay agreement relates to the ongoing Actizone surface care project and involves a sale by Byotrol to Solvay of Actizone patents and intellectual property, in return for substantial cash payments in financial years ending March 2018 and March 2019, an ongoing royalty on all Solvay Actizone sales thereafter, with minimum guarantees in years ending March 2020 and 2021, a further payment in early 2022 should Solvay sales exceed certain sales targets in 2021, and Byotrol retains the ongoing rights to sell Actizone technologies in finished product form.

The agreement significantly increases the total development resources available for Actizone and frees-up Byotrol resources to commercialise its technologies.

AIM-listed Byotrol said there remains an ongoing collaboration with Solvay and the two companies continue to work on development projects across a number of long-lasting anti-microbial technologies.

The company also continues to make good progress in the US, it said.

Fifty of 52 US states have now formally approved Byotrol’s EPA-registered, long-lasting anti-microbial surface sprays.

The remaining two – Georgia and Maryland – are expected imminently.

Byotrol said it remains on target for a US retail trial in the summer.

The firm said: “In the last financial year we have added several high-quality professionals, including in the last month a new head of sales who was previously national sales manager of 365Healthcare, a £50m turnover subsidiary of Bunzl Healthcare, and one of a small team that built the business from its start in 2006 to its ultimate sale to Bunzl Healthcare in 2015.

Today’s update confirms that the company remains well-financed and is starting the new financial year with cash resources of £4.7m.

Byotrol expects to announce its preliminary results in July.

Chief executive David Traynor said: “We are very pleased with our progress over the last financial year and are excited about the emerging opportunities for our technologies, supported by continuing strong commercial relationships and a very healthy balance sheet.”

Founded in 2005, Byotrol operates globally in the food, industrial, healthcare and consumer sectors, providing low toxicity products with a broad-based and long-lasting efficacy across all microbial classes – bacteria, viruses, fungi, moulds, mycobacteria and algae.

The firm’s products can be used stand-alone or as ingredients within existing products, where Byotrol can significantly improve their performance, especially in personal hygiene, domestic and industrial disinfection, odour control, food production and food management.

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