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- Rights Issue: Raised nearly NOK 20 million, completed in July 2024.
- Additional Subscription: NOK 8.7 million received, total financing at NOK 19.6 million.
- Loan Waiver: Total loan from Business Finland waived, valued over NOK 70 million.
- Operating Expenses: Total operating expenses at NOK 23 million for the first half of 2024.
- Burn Rate: Approximately NOK 4 million per month.
- Operating Loss: NOK 23 million for the first half of 2024.
- Cash Burn: Expected around NOK 24 million for the half-year.
- Profit Before Income Tax: Positive due to loan waiver impact.
- Full-Time Employees (FTEs): Organization consists of about 10 FTEs.
- Financing Commitment: Secured until June 2025 through Atlas, available from October 2024.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Circio Holding ASA (FRA:TA50) has developed a unique circVec expression system that turns patient cells into circular RNA factories, offering a significant advantage over traditional mRNA therapies.
- The company has achieved nearly 10 times better protein expression with its circVec generation 2.1 compared to mRNA, demonstrating strong potential in gene therapy.
- Circio Holding ASA (FRA:TA50) has successfully raised NOK19.6 million through a Rights Issue, securing financial resources for the next 12 months.
- The company has entered into five research collaborations with companies in Asia, Europe, and the US, potentially paving the way for future partnerships and licensing deals.
- Circio Holding ASA (FRA:TA50) has managed to have a NOK70 million loan from Business Finland waived, significantly improving its financial position.
- The company is still in the experimental phase with its circVec technology, and it has not yet reached the maximum potential of the system.
- Despite promising in vitro results, the in vivo advantage of circVec AAV over mRNA AAV has not yet been clearly demonstrated.
- Circio Holding ASA (FRA:TA50) is reliant on a financing commitment from Atlas, which may create market dynamics due to share sales upon bond conversions.
- The company has a high monthly burn rate of NOK4 million, necessitating continuous efforts to secure additional funding.
- Enrollment in the Kansas University trial was slow, leading to its closure, which may impact the company's clinical development timeline.
A: Erik Digman Wiklund, CEO, explained that partners are looking for testing circVec with their technology. If results are encouraging, it could lead to further experimental work and in vivo validation. A strong data package is needed to make a deal. Larger companies may require demonstration of the platform's potential and its application in a therapeutically relevant context.
Q: What are the most important upcoming R&D milestones, and are you on track for business development deals?
A: Erik Digman Wiklund, CEO, mentioned upcoming in vivo experiments to test circVec in new tissues, with results expected in the next few months. Progress is being made with AAV, with data anticipated later this year or early next year. The development of circVec 3.0 is also underway, with completion expected in Q4.
Q: What is the status of TG01 clinical studies, and when do you expect data readouts?
A: Erik Digman Wiklund, CEO, stated that trials are ongoing, with a planned data release for the Oslo trial at ASH in December, focusing on safety and immune response data. The Georgetown trial is progressing with data expected next year. The Kansas University trial will be closed due to slow enrollment.
Q: Can you comment on the share sale by Atlas?
A: Erik Digman Wiklund, CEO, clarified that Atlas is a debt provider, not a long-term shareholder. They hold convertible bonds and sell shares upon conversion. An agreement is in place to manage the volume and timing of share sales, and the collaboration with Atlas is progressing well.
Q: Will Atlas support you financially for the next 12 months or until the middle of next year?
A: Lubor Gaal, CFO, confirmed that Atlas has committed to financing Circio until June 2025. The company maintains a close dialogue with Atlas and is also exploring alternative funding sources to ensure financial stability.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.