Orthocell Ltd (ASX:OCC, OTC:ORHHF) has confirmed it received a $3.0 million refund under the Australian Federal Government’s Research and Development (R&D) Tax Incentive for the financial year ended June 30, 2025.
The refund is a non-dilutive boost to cash reserves, taking Orthocell’s cash balance to $49.6 million following receipt.
The company said it remains focused on accelerating the commercialisation and market adoption of its nerve repair product Remplir™ across the Americas and Asia Pacific, supported by a debt-free balance sheet and ongoing investment in clinical evidence and medical education initiatives.
“Receipt of our R&D tax refund of $3.0 million is a valuable non-dilutive enhancement to our cash position, Orthocell CEO and MD, Paul Anderson, said. "This Australian Federal Government program should be applauded, as it provides meaningful economic incentives to drive investment in R&D. Our flagship nerve repair product, Remplir, which is now being commercialised throughout the Americas and Asia Pacific, is a tangible example of a product that has benefited from this program.
“We’re in a very strong position to continue to drive the commercialisation of Remplir for the benefit of our shareholders with $49.6 million in cash, no debt and no royalties payable.”
The R&D Tax Incentive is designed to encourage innovation by supporting Australian companies undertaking eligible R&D activities in Australia, with eligible companies able to receive cash rebates of up to 48.5% on qualifying R&D expenditure.
Orthocell has previously indicated it is targeting a total addressable market in selected jurisdictions of more than US$3.5 billion, and said it will continue investing to support uptake of Remplir™ while maintaining a strong funding position.