Ad-hoc | 4 April 2007 15:30
4SC AG / Miscellaneous
Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Planegg-Martinsried, 4 April 2007 - According to provisional calculations
of the current financial figures for the first quarter of 2007, the
Management Board of the Martinsried drug discovery and development company
4SC AG (Frankfurt, Prime Standard: VSC) is assuming, on the basis of the
HGB (German GAAP) figures of 31 March 2007, that a loss of more than half
of the nominal capital has occurred. The background to this is essentially
the accumulated losses carried forward from previous years. The Management
Board is preparing appropriate measures to strengthen the equity and,
pursuant to §92 (1) AktG, will immediately summon a general meeting, in
which it will disclose the loss and report on the current development of
the measures. The date of the general meeting will be published together
with the invitation notice.
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Information and Explaination of the Issuer to this News:
Although the operative earnings position of 4SC AG underwent a noticeable
improvement in the last financial year, the equity capital was burdened by
accumulated losses carried forward from previous years, as well as by
rising R&D expenditure. This situation is not uncommon for young biotech
companies that have yet to make a profit.
Like most research-intensive biotech companies, 4SC AG is not yet
profitable either. To reach the profit zone, it has to earn substantial net
sales from milestone payments, licence income and royalties in connection
with licensing agreements with the pharmaceutical industry as well as in
connection with service collaboration agreements. Here 4SC AG was able to
achieve initial successes in the last financial year and as a result, to
increase its net sales by approximately 77 percent to approximately 3.7
million Euros and improve its period result to approximately - 5.5 million
Euros. On top of this, there was clear progress in connection with the six
pipeline projects - accompanied by the corresponding increased R&D
expenditure. The Management Board expects that individual projects will, in
the short- to medium-term, reach milestones in their development that ought
to noticeably increase their attraction for licence partners. 4SC AG
forecasts net sales to continue to rise during the current financial year,
so that the earnings position should once again improve in 2007.
Legal Note
This document may contain projections or estimates relating to plans and
objectives relating to our future operations, products, or services; future
financial results; or assumptions underlying or relating to any such
statements; each of which constitutes a forward-looking statement subject
to risks and uncertainties, many of which are beyond our control. Actual
results could differ materially, depending on a number of factors.
About 4SC:
4SC AG (ISIN DE0005753818) has been listed in the Prime Standard of
Frankfurt Stock Exchange since 15 December 2005. Founded in 1997 and now
with a staff of 59, the company develops novel drug candidates for
inflammatory diseases and cancer using a cheminformatics based technology
platform. Traditional high throughput screening of therapeutic agents has
been transferred from the lab to the computer. Thus, the company offers
substantial cost and time advantages as well as increased success rates in
drug development. 4SC AG uses its patented technology platform to create a
sustainable product pipeline for active agents that are developed in early
clinical phases ('proof of concept') and subsequently result in upfront and
milestone payments as well as participation in sales generated by
out-licensed products to the pharmaceutical industry. There are currently
six projects in the pipeline. The first project on the treatment of
rheumatoid arthritis is currently undergoing clinical phase IIa. Four other
product candidates are in preclinical development and another project is in
the research stage. Furthermore, the company has its technology platform in
co-operation projects with biotech and pharma companies and is already
generating initial revenues.
Bettina von Klitzing
Manager Investor Relations und Public Relations
4SC AG
Tel.: +49 (0) 89 70 07 63 - 0
Bettina.von.klitzing@4sc.com
On behalf of 4SC AG:
Sibylle Greiser
komm.passion Schumacher´s AG
Tel.: +49 (0) 89 48 92 72 - 21
Sibylle.Greiser@komm-passion.de
DGAP 04.04.2007
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Language: English
Issuer: 4SC AG
Am Klopferspitz 19a
82152 Martinsried Deutschland
Phone: +49 (0)89 7007 63-0
Fax: +49 (0)89 7007 63-29
E-mail: public@4sc.com
www: www.4sc.de
ISIN: DE0005753818
WKN: 575381
Indices:
Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin-Bremen, Düsseldorf, München, Stuttgart
End of News DGAP News-Service
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