Tromsø, Norway, 2nd December 2019 – Biotec Pharmacon (OSE: Biotec) has decided to focus its future on the enzymes business and holds an investor update presentation on 10th December.
- Seek a new owner for the wound care – Woulgan®
- Drive profitability through the enzymes business (ArcticZymes)
- Sales activities in Animal and Consumer health integrated under ArcticZymes.
Biotec has for several years invested in innovative wound care treatments under the tradename Woulgan®. The response from the addressed markets to the clinical benefits of using Woulgan® are positive. Despite relentless efforts, Biotec cannot create commercial success with limited resources and marketing power. Consequently, the company has decided to stop further development of Woulgan® and search for a new product owner. The company will engage an external business development consultant to assist in this process. In the meantime, Biotec will continue to fully support existing customers and prepare itself to be transaction ready.
Jethro Holter, Interim CEO of Biotec Pharmacon said:
“In supporting the new direction, the Company will undergo a structural reorganisation ensuring the appropriate level of resources are allocated to the respective businesses. Also, unnecessary costs will be eliminated with the intention of driving the Group to profitability during 2020.”
Biotec will focus on organic and inorganic growth opportunities in ArcticZymes. The goal is to strengthen its position as a global leading supplier and one-stop-shop of innovative enzymes in high-growth molecular biology market segments.
The animal and consumer health businesses are a profitable part of the company and will be integrated under ArcticZymes because of similarities in driving commercial relationships and supply deals. Furthermore, the adjuvant part of the business will focus towards a future licensing agreement.
Dr. Marie Roskrow, Chairman of the Board said:
“Despite the company’s considerable efforts over the last years to create commercial success for Woulgan, revenues have not materialised according to expectations. After evaluating future options, it’s evident that we cannot drive this business into profitability, therefore we have made this difficult decision to seek a new owner for the product.”
The company will hold an investor update presentation on Dec 10th 2019, at 1400 CET, Hotel Continental (Oslo), to further elaborate on the press release. A separate invitation with webcast details will be sent out separately.
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For more information, please contact:
Jethro Holter, Interim CEO Tel: +47 46 85 91 46
Dr. Marie Roskrow, Chairman of the Board Tel: +44 12 78 66 27 82