www.renovo.com
Renovo (LSE:RNVO) is a biopharmaceutical product company and a leader in the discovery and development of drugs to reduce scarring, improve wound healing and enhance tissue regeneration.
Renovo Group to start share buy-back
Renovo Group (LON:RNVO) said it will now start the share buy-back that was announced in August 2011 and approved by shareholders at the AGM in September.
The company said today that the order of the High Court confirming the capital reduction has now been registered, and it can begin to buy back up to 47,424,744 ordinary shares, representing not more than 25 per cent of the capital.
Renovo will pay a minimum of 10 pence a share, the nominal value, and at the most it will pay an amount equal to 105 per cent of the five business days average immediately preceding the buy-back day.
The acquired shares will either be cancelled or held in treasury for an employees' share scheme or later cancellation.
Following the September AGM, at which all resolutions were passed, Renovo carried out its plans to step down from the LSE main market onto AIM, and has been trading on the junior exchange since late October.
In February, Renovo shares fell around 75 percent after it revealed that its lead drug, the scar treatment Juvista, failed to meet its goals in a major clinical trial. In the wake of the trial Renovo was left with a cash pile and intellectual property (IP) relating to two earlier stage drugs, Prevascar and Adaprev. In November it announced the decision to cease further development of its Adaprev product.
The group has streamlined its board of directors and it has scaled back its operations. It has closed down its labs and in the future the rest of the drug portfolio will be developed via contractors.
