Amphion Innovations Plc’s (LON:AMP) net asset value rose by 13% in its latest half year helped by a weaker pound and a rise in the value of antibiotic developer Motif Bio Plc (LON:MTFB).
In sterling terms, NAV at the investment company rose to 4.3p per share at the end of June, from 3.8p in December, though this rise was reduced to 4% if calculated in dollars.
Motif Bio is Amphion's main investment and the biotech has just started enrolling for a phase III trial for its new antibiotic Iclaprim. Results are expected in around 18 months and a launch in 2018 if everything goes to plan.
Motif’s share price rose by 21% over the period. Amphion has 29.2% stake.
Richard Morgan, Amphion's chief executive, said: "Motif has a very bright future and is now on its way to potentially becoming a significant player in the antibiotic market, which has a growing need for novel therapies."
Amphion’s two other key investments are medical imaging group m2m, where it has a 15.6% stake, and 5.3% of Aim-listed scanning group Kromek Group PLC (LON:KMK), both of which have good potential said Morgan.
Profits in the half year to June were £320,000 compared to the previous year’s £33mln, which were buoyed by the Motif Bio float.
Operating losses were US$1.5mln (US$1.25mln) with net liabilities of US$29.1mln, out of which US$13.8mln is owed to board members and US$6.3mln to convertible note holders.
Shares eased 4% to 3.12p.