Biotech business extends cash runway
Biotech company, Tissue Regenix has updated the market on its working capital position after warning at the start of the year it had a cash runway until the end of April.
Since the announcement on 22 January, the Leeds-based business has successfully implemented various cost control measures. These actions mean the Board believes that the business will be able to “continue to support its working capital requirements until at least the end of the second week of May 2020.”
The update also highlights that the Board is still seeking to secure necessary funding and is in ongoing discussion with potential investors which it hopes to conclude in the near future.
However, the Board warns that if the funding can’t be made available then action will be required to “protect the interests of creditors” and that this would “likely to result in a material reduction in any resulting value attributable to shareholders.”
As a result of the current Covid—19 outbreak the firm has said there has been slight decline in the number of elective procedures undertaken, as medical professionals are re-prioritised. However, as demand for the its BioRinseTM portfolio continues to exceed capacity, the Company has not yet experienced any reduction in net revenues versus expectations.
