Collagen Solutions Plc (AIM: COS), the developer and manufacturer of biomaterials and regenerative medicines for the enhancement and extension of human life, provides an update on trading for the six months to 30 September 2019.
Revenue is expected to be £2.23m (H1 2018: £1.95m), representing a 14.4% increase on the prior year, driven in particular by continuing momentum in our newly established tissue business.
New customer acquisition continues with four new customer contracts and 10 new customers.
In June 2019, the Company completed a fundraise of £5.96m gross of costs made up of a strategic investment by Rosen’s Diversified Inc of £4.18 million, a placing with existing and new investors of £1.25 million and an open offer totalling £0.53 million. The funds are being used to further customer and proprietary product development, expand contract manufacturing activities and capabilities and for working capital including the repayment of the Norgine Ventures Bond Facility.
The Company continues to execute on its customer product development milestones, having signed new development customers, which represent additional future contract manufacturing opportunities, once these products are approved and launched. In addition, the Company remains engaged in the process to address questions from its notified body for the ChondroMimetic® CE mark consistent with our previously stated plans.
Jamal Rushdy, CEO, commented: “We are pleased to report the third consecutive six-month period of double-digit sales growth demonstrating consistent performance to our expectations by the Collagen Solutions global team. Our core business remains strong and our initiative to increase capacity is on track to meet the anticipated higher demand for both collagen and tissue products.”
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