NetScientific losses widen as company remains optimistic

The AIM-traded transatlantic technology healthcare group made a loss after tax of £12.7m during the calendar year, compared with £7.1m in 2014, which its board said reflected close-to-commercialisation stage expenditure of lead and priority portfolio companies.

It did manage to successfully complete the £18.2m capital raising to principally fund the acceleration of Vortex and Wanda during the period.

At year end, NetScientific’s available cash resources totalled £23.2m, up from £16.8m a year earlier.

"NetScientific's management team and portfolio focus has been completely transformed,” said chairman Sir Richard Sykes on the results.

“Under François' leadership and with a focussed, close to commercialisation portfolio asset base, we now have an extremely strong healthcare technology group well positioned, not least through its majority shareholdings, to deliver significant value to shareholders.”

During the year the board appointed Dr François Martelet as is new CEO, who the board said brought more than 20 years of biopharma experience and a track record of shaping and developing businesses to deliver shareholder returns.

Its lead portfolio companies - the 95%-owned Vortex and 71.3%-owned Wanda - advanced well during the year, the board said, with high-calibre CEOs appointed to drive strategy and expedite commercialisation.

NetScientific also reported good progress across its other priority portfolio companies, namely the 56.5%-owned ProAxsis and the 87.5%-owned Glycotest, where high-calibre CEOs had been appointed.

The firm completed its portfolio rationalisation, divesting non-core assets, with its holdings now solely in healthcare.

Shares in the company were up slightly in afternoon trading, having added 1.52% to 73.6p at 1510 BST.