Scope Fluidics reports excellent financial position

14-11-2022

Scope Fluidics S.A., a NewConnect-listed (WSE NewConnect: SCP) biotechnology company developing innovative projects using microfluidic technologies for application in molecular diagnostics, today published its consolidated financial statements for the third quarter of 2022.

The most significant event in the third quarter was the sale of 100% of the shares in subsidiary Curiosity Diagnostics Sp. z o.o. to Bio-Rad Laboratories. As part of the payment due upon signing the agreement, the US company paid USD 100 million. The agreement provides for additional future payments to Scope Fluidics totalling up to USD 70m. These payments are contingent on the Curiosity Diagnostics team achieving milestones in the development of PCR|ONE products.

The cash balance in Scope Fluidics’ account as at 30 September this year was PLN 370.6 million after the Company paid an advance income tax payment of PLN 72 million and repaid a loan from the European Investment Bank in the amount of PLN 43 million.

The sale of PCR|ONE technology to Bio-Rad Laboratories – a world leader in bio-analytical techniques – is a confirmation of Scope Fluidics’ business model, whereby we identify global challenges and market needs and develop technology for products with significant breakthrough competitive advantages. The development of PCR|ONE has allowed us to build our organisational and designing know-how, while the company’s now reported financial position, after the payment to the shareholders of their share of the proceeds from the sale of the subsidiary, in accordance with the company’s articles of association, provides us with an excellent position for a resilient development of the group,” says Piotr Garstecki, CEO of Scope Fluidics S.A.

– After repayment of the loan from the EIB and payment of advance income tax, we had over PLN 370 million in our account at the end of September. According to Scope Fluidics’ articles of association, at least 50% of the funds from the sale of its subsidiaries will be paid to Shareholders. The Articles of Association refer to the amount raised by the Company and therefore before taxes or deductions. Please note, however, that in accordance with the Commercial Companies Code, the decision on profit distribution for a given financial year belongs to the General Meeting of Shareholders and may be taken only after it has approved the annual report for that financial year, says Szymon Ruta, CFO of Scope Fluidics S.A.

Following the sale of its PCR|ONE technology to a multinational corporation operating in the global market for bio-analytical techniques, Scope Fluidics is focusing on building value and ultimately selling BacterOMIC, a system for assessing drug susceptibility of bacteria. BacterOMIC is designed to help select targeted antibiotic therapies that will minimise the risk of infections in patients. BacterOMIC is a system with very high market potential, capable of revolutionising antibiotic therapy. Experts estimate that the market for automated antimicrobial susceptibility testing is worth around US$1 billion a year. Clinical trials have proven the effectiveness of the BacterOMIC system, which ultimately has the potential to test all clinically relevant antibiotics in a single test.

The company is working intensively on the development of the BacterOMIC technology and conducting activities towards the commercialisation of this technology. In July 2022, BacterOMIC was selected to participate in the 1st Pan-European Hospital and Healthcare Procurement Summit, held on 20-21.09.2022 in Brussels. Scope Fluidics with its flagship project, BacterOMIC, was selected by the European Innovation Council (EIC) as one of 6 companies from Europe. The BacterOMIC project was presented at hearings organised by the EIC in early July and at a plenary session in Brussels to a forum of more than 300 decision-makers and experts from around the world in the healthcare procurement sector. BacteroMIC will also be presented at the MEDICA international trade fair for medical technology and medical products, which will take place from 14-17 November 2022 in Düsseldorf.