Biotech C4X Discovery Holdings plc (LON:C4XD) says its focus has shifted to creating high value pre-clinical drug candidates in a bid to drive revenue through early stage licensing deals.
The firm, which is developing innovative drugs to treat a variety of illnesses, reported full year results today, to end July, which showed an increased spend in research and development along with a widened loss.
From its initial float in 2014, the firm has grown three drug programmes in addiction, diabetes and chronic obstructive pulmonary disorder to now eight programmes, it highlighted.
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The period in question saw it make acquisitions to further its aims and strike strategic alliances, notably last September with Evotec AG, in which the pair will work together to develop new small molecule drugs across a range of targets.
Dr Clive Dix, who was appointed chief executive in May, having been executive chairman, said: "We have defined our strategy to drive revenue through early-stage licensing deals around a high value, pre-clinical portfolio.
"In the coming year, we will focus on securing deal revenue from our existing portfolio, progressing our discovery candidates to pre-clinical development, identifying novel and exciting drug targets and selectively building our operations to support our vision. I believe C4X Discovery has the team in place to deliver this strategy."
The loss for the 12 months widened to £6.7mln against a loss of £3.8mln for 2015, on revenues, which were £279mln from £312mln.
R&D expenses increased by 66% to around £5.24mln (2015: £3.16mln)
Fee-for-service revenue was £279,000 (2015: £312,000) and existing fee-for-service agreements have been discontinued after the year end, the firm said.
Post period, the group raised £5mln via a placing of almost 4.9mln shares at 102p each.