OptiBiotix Health PLC Intention to float SkinBiotherapeutics (0846A)

TIDMOPTI

RNS Number : 0846A

OptiBiotix Health PLC

21 March 2017

OptiBiotix Health plc

("OptiBiotix" or the "Company")

Intention to float SkinBiotherapeutics

OptiBiotix Health plc (AIM: OPTI), a life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care, announces that its majority owned subsidiary, SkinBioTherapeutics (formerly SkinBiotix), intends to seek Admission to AIM with an associated institutional and private client investment manager fundraising. A Schedule One announcement in relation to the proposed Admission was issued by the London Stock Exchange earlier today.

On 5 July 2016, OptiBiotix announced its strategy to form separate divisions, each containing its own technology platform, IP portfolio, and specialised teams, which could in due course become separate legal entities with the potential for a separate public listing. On 5 October 2016, Martin Hunt was appointed as Non Executive Chairman of SkinBiotherapeutics. On 20 October 2016, OptiBiotix announced that it had invested a further GBP400,000 into SkinBiotherapeutics via a Convertible Loan Agreement to build the team, IP, and research & development programmes to progress towards an Initial Public Offering. OptiBiotix's convertible loan will be converted into Ordinary Shares in SkinBioTherapeutics on Admission.

OptiBiotix's strategy is based on its belief that the diversity of IP and commercial relationships across its four divisions reduces shareholder risk whilst offering multiple opportunities for value enhancement.

The planned Admission of SkinBioTherapeutics brings in non dilutive funding and creates the opportunity to drive the development and commercialisation of its SkinBiotix(R) technology platform to address large scale global markets in skin health including Cosmetic Skin Care ($121bn); Health Care Acquired Infections ($82bn); and Eczema ($3.8bn).

Stephen O'Hara, CEO of OptiBiotix, commented: "The rapid development and growing awareness in the microbiome have been matched by OptiBiotix's progress in a number of diverse areas of key scientific and commercial interest. OptiBiotix's skin division has built its own IP, team, and development programmes to a point where the Board believe the scale of the opportunities offered by its SkinBiotix's(R) technology in the biotherapeutic space may be best realised by separate listing. As a majority shareholder in SkinBioTherapeutics, OptiBiotix's Board believe this provides the necessary resources to grow SkinBiotherapeutics and create the potential for substantial future value enhancement."

 
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About OptiBiotix - www.optibiotix.com

OptiBiotix was formed in March 2012 to develop compounds which modify the human microbiome - the collective genome of the microbes in the body - to prevent and manage human disease.

The aim of OptiBiotix is to discover and develop microbial strains, compounds and formulations, which modulate the human microbiome and can be used as food ingredients and supplements or active compounds for the prevention and management of human metabolic diseases, examples of which include obesity, cholesterol and lipid distribution and diabetes.

OptiBiotix has established a pipeline of microbiome modulators that can impact on lipid and cholesterol management, energy harvest and appetite suppression. The development pipeline is fuelled by its proprietary OptiScreen(R) and OptiBiotic(R) platform technologies designed to identify metabolic pathways and compounds that impact on human physiology and bring potential health benefits. These platforms are applicable across a wider range of other human diseases.

About SkinBioTherapeutics plc

SkinBioTherapeutics is a life science company focused on skin health. The Company's proprietary platform technology, SkinBiotix(TM), is based upon discoveries made by CEO Dr. Catherine O'Neill and Professor Andrew McBain.

Following a breakthrough in microbiome research, SkinBioTherapeutics' platform applies research discoveries made on the activities of lysates derived from probiotic bacteria when applied to the skin. The Company has shown that the SkinBiotix(TM) platform can improve the barrier effect of skin models - from moisture retention to anti-infection to repair.

SkinBioTherapeutics is targeting three specific markets; cosmetics, infection control and eczema. In each of these areas the Company intends to exemplify its technology in human studies. The most advanced programme is focused on creating an ingredient for the cosmetics industry to treat sensitive skin. The business strategy is to outlicense its programmes at proof of concept.

SkinBioTherapeutics received seed funding from the Tech Transfer office of the University of Manchester for the discovery of SkinBiotix(TM). The platform was subsequently spun out of the University of Manchester in March 2016 and was funded by OptiBiotix (AIM: OPTI).

The Company is based in Manchester, UK. For more information, visit www.skinbiotherapeutics.com.

This information is provided by RNS

The company news service from the London Stock Exchange

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March 21, 2017 08:00 ET (12:00 GMT)