28 July 2004
BTG plc: 2004 AGM Statement
London, UK, 28 July 2004 - BTG plc (LSE: BGC), the IP and technology
commercialisation company, will hold its Annual General Meeting today at 10.30am
at the company's offices in London. The following is a summary of comments to
be made by Sir Brian Fender, Chairman, and Ian Harvey, Chief Executive Officer.
Total revenues for the year ended 31 March 2004, including equity disposals of
£4.1 million and the £12.0 million settlement from Acambis plc, increased by 68%
to £52.9 million. The company also reported a 37% reduction in loss before tax
to £22.9 million. In the current year, we are targeting revenue growth of 20%
(excluding the £12.0 million from Acambis). We will continue to manage
investments and costs in line with actual revenue growth in pursuit of our
target of reaching profitability by March 2006, excluding Provensis.
We have previously announced our strategy for the continued development and
commercialisation of Varisolve(R), and through a Rights Issue early this year we
raised £26.6 million to implement our plans. All elements of the programme of
work intended to enable the resumption of US clinical development are under way,
and our subsidiary, Provensis, is on track to submit a complete response to the
clinical hold to the Food & Drug Administration by the end of November.
Construction of the manufacturing facility is continuing towards completion.
Commercial discussions with potential partners are proceeding, and we are
planning to conclude an agreement by the end of the financial year which will
ensure the continued development of Varisolve(R).
The flow of technologies into BTG continues to be strong, with six acquisitions
completed during the first quarter of the current year. In development, BTG has
recently initiated a Phase I/II study of BGC 9331, a potential treatment for
gastric and other solid tumours. BTG's subsidiary KetoCytonyx, Inc. commenced a
Phase I clinical study of KTX 0101, its lead therapeutic with a target
indication of prevention of cognitive impairment in patients undergoing Coronary
Artery Bypass Graft (CABG) surgery.
We can also report that several of BTG's licensees have made recent progress.
ILEX Oncology, Inc. has completed recruitment of 284 patients for a Phase III
trial of Campath(R) versus chlorambucil as front-line therapy in previously
untreated patients with progressive B-cell chronic lymphocytic leukaemia
(B-CLL). Campath(R) is currently approved to treat patients with B-CLL who have
been treated with alkylating agents and have failed fludarabine treatment.
Enrolment of 240 patients in a global, multi-centre Phase II trial of Campath(R)
in previously untreated relapsing/remitting multiple sclerosis has also been
BTG's licensee Xanthus Life Sciences has initiated a Phase I clinical study of
Symadex in patients with advanced solid tumours. Symadex (licensed to Xanthus
by BTG as C-1311) is a next-generation anti-cancer agent that was designed to
have similar or improved efficacy in comparison to the currently marketed
chemotherapeutic, mitoxantrone, but with reduced side effects, including cardio-
During the first quarter of the current year, we have completed three new
licence agreements. Several others are in late stage discussions, and we have a
strong pipeline of technologies in active commercialisation.
Creating, asserting and defending patents is central to BTG's business. During
the first quarter of the year, we have successfully defended the European
patents protecting the haemofiltration technology invented by the University of
Cincinnati Children's Hospital Medical Center, which had been challenged before
the Opposition Division and the Board of Appeal of the European Patent Office by
our licensee Gambro Lundia AB. As a result, BTG anticipates a higher royalty
rate and increased revenues from the existing licence agreement with Gambro.
BTG, Teleshuttle Corporation and Teleshuttle Technologies LLP have recently
filed suit against Microsoft and Apple for infringement of Teleshuttle
Technologies' patent covering Microsoft's and Apple's web-enabled software
update technologies. Another suit has been filed against Microsoft for
infringement of Teleshuttle Technologies' patents covering Microsoft's active
desktop and offline browsing technologies. These actions follow delays by
Microsoft and Apple from entering into licence agreements on commercially
The search for a successor to Ian Harvey, who is scheduled to retire in early
2005, is progressing well and we anticipate appointing the new Chief Executive
Officer before the end of the calendar year. Both Rusi Kathoke and Malcolm
Coster offer themselves for re-election at today's Annual General Meeting.
For further information contact:
BTG Financial Dynamics
Andy Burrows, Director of Investor Relations Ben Atwell
+44 (0)20 7575 1741 +44 (0)20 7831 3113
BTG is an intellectual property and technology commercialisation company that
operates internationally. BTG creates value by investing in intellectual
property and technology development, and in early stage ventures. We realise
value through technology licensing, patent assertion and disposal of equity
investments. Through a multidisciplinary approach, we apply intellectual
property and commercial expertise, together with specialist skills in science
and technology, to create major product opportunities in the health and high
tech sectors. BTG has commercialised important innovations, including Magnetic
Resonance Imaging, Multilevel cell memory, and Factor IX blood clotting protein,
the first recombinant treatment for Haemophilia B. BTG operates through wholly
owned subsidiaries BTG International Ltd and BTG International Inc in the UK and
USA, respectively. Further information on BTG can be found at www.btgplc.com.
This information is provided by RNS
The company news service from the London Stock Exchange