Trading Update

RNS Number : 5288Q

Oxford Cannabinoid Tech.Holdings

29 June 2022

 

Oxford Cannabinoid Technologies Holdings plc

("OCTP" or "the Company")

Trading Update

Oxford Cannabinoid Technologies Holdings plc, the pharmaceutical company developing prescription cannabinoid medicines targeting the US$ multi-billion pain market, announces a trading update for the eleven-month period ended 30 April 2022 (the "Period").

Trading during the Period was in line with the Board's expectation, reflecting good progress across all of its drug development programmes with the Company providing increased visibility of its roadmap to phase one clinical trials, which are expected in Q4 2022 and Q1 2023, for OCT130401 and OCT461201 respectively. By strengthening relationships with key industry partners and targeted research, the Company has refined its development pathway further.

Financial Update

The Board expects to report financial results in line with management expectations for the Period - with total costs before tax credits of approximately £5.6m reflecting administrative costs and a circa £2.9m investment in research and development. The closing cash at the period end was £ 9.2m, as expected.

Operational Highlights

During the Period the Group entered into several agreements across all of its drug development programmes, including with Aptuit (Verona) SRL, a subsidiary of Evotec SE, Voisin Consulting SARL, Canopy Growth Corporation and Oxford Stemtech Ltd, with the focus during the second half on its two lead candidates.

Results from a pre-clinical pain study for lead compound, OCT461201, targeting the global Chemotherapy Induced Peripheral Neuropathy ('CIPN') market provided further evidence that the compound has potential as an effective therapy in the treatment of CIPN in cancer patients. This market was valued globally at US$1.61bn in 2020 and forecasted to reach US$2.37bn by the year 2027.

OCTP also entered into a five-year Master Service Agreement with Benuvia Manufacturing Inc. ("Benuvia") for OCT130401 - its drug-device combination delivering phytocannabinoids ("pCBs") to patients suffering from trigeminal neuralgia ("TN"). This partnership is focused on the manufacture of the drug-device combination for phase one clinical trials.

With a view to strengthening its focus on and capabilities within pre-clinical research, clinical trials and the care of patients, the Company established a scientific advisory board, highlighting its commitment to grow a best-in-class network of scientific, academic and commercial partners.

Post Period end the Company announced the appointment of Axis Capital Markets Limited as the Company's corporate broker with a view to further enhancing liquidity and understanding of the Company's growth prospects within the equity markets.

Outlook

The Board believes that the Company remains well placed to take advantage of a growing pipeline of opportunities. With a diversified pipeline and the potential to provide innovative solutions to the global pain market the Board is confident that the Company will continue to build on recent momentum as it continues to develop next generation, non-addictive pain medications.

John Lucas, CEO of Oxford Cannabinoid Technologies Holdings plc, said: "Life as a public company has been exceptionally busy, with the funds raised when OCTP joined the market in May 2021 enabling us to make significant progress towards phase one clinical trials for our two lead candidates. Our plans to be in the clinic with our two lead programmes by Q1 2023 and Q4 2022 respectively are firmly on track and we look forward to providing further updates in due course."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).

The Directors of the Company accept responsibility for the content of this announcement.

Enquiries:

Oxford Cannabinoid Technologies Holdings plc Dr John Lucas (CEO) Clarissa Sowemimo-Coker (COO)	[phone] [e-mail] [e-mail]
Cairn Financial Advisers LLP Emily Staples Jo Turner	[phone] [phone]
Axis Capital Markets Limited Kamran Hussain Richard Hutchison Walbrook PR Limited Paul Vann/Nick Rome Harbor Access LLC Richard Leighton/Jonathan Paterson	[phone] [phone] [phone] [e-mail] [phone] [e-mail]

About Oxford Cannabinoid Technologies Holdings plc:

Oxford Cannabinoid Technologies Holdings plc ("OCTP") is the holding company of Oxford Cannabinoid Technologies Ltd ("OCT"), a pharmaceutical company developing prescription cannabinoid medicines for approval by key medicines regulatory agencies worldwide and targeting the U$ multi-billion pain market (together the "Group"). Cannabinoids are compounds found in the cannabis plant that have been shown to have a range of therapeutic effects on the body, including pain relief. The Group has a clearly defined path to commercialisation, revenues and growth. The Group is developing drug candidates through clinical trials to gain regulatory approval (FDA/MHRA/EMA) that will enable medical professionals to prescribe them with confidence.

The Group's portfolio aims to balance risk, value and time to market, whilst ensuring market exclusivity around all its key activities. The Group's lead compound, OCT461201, is a highly potent and selective CB2 agonist and is being developed by OCT in a solid oral dosage form. OCT is conducting pre-clinical testing and development with clinical trials scheduled for Q1 2023. The Group's product pipeline also uses a balanced drug product strategy that employs both natural and synthetic compounds for the treatment of rare diseases and includes chemically modified phytocannabinoids with improved drug-like characteristics and a proprietary library of cannabinoids.

OCTP operates a partnership model with external academic and commercial partners.

Caution regarding forward looking statements

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.

 

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