Eden Research Plc
("Eden" or "Company")
New terms agreed with UMMS for licence to next-generation technology
Eden Research plc (AIM: EDEN), the AIM-listed company that provides breakthrough biocontrol products and natural microencapsulation technologies to the global agrochemicals, animal health and consumer products industries, announces that it has agreed new terms covering its licence agreement with University of Massachusetts Medical School ("UMMS").
In Eden's 2016 Report and Accounts it was noted that an amount of £570,462, (USD$700,000) had been accrued to UMMS for minimum royalties payable under the licence agreement which Eden signed with UMMS in 2011. Eden has now agreed with UMMS to revise the minimum royalties from October 2017, resulting in a net reduction in Eden's short-term financial obligations to UMMS, with the amount accrued being written off in its entirety.
Eden has achieved this by signing an Amendment with UMMS, for which Eden has agreed to pay a fee of USD$250,000. A portion of this fee is payable upon signature of the Amendment, and the balance is payable in one year's time.
Sean Smith, Chief Executive of Eden, said: "We are pleased to announce the re-setting of some of the key commercial terms of our licence agreement with UMMS. We believe that the new terms reflect both the long term potential of our next-generation encapsulation technology whilst also reflecting the current stage of technology development. We look forward to the ongoing collaboration with UMMS which is, in part, focussed on the further development of this technology with the objective of creating a next-generation encapsulation system to help us solve a broader set of challenges for our partners."
Eden Research plc |
www.edenresearch.com |
Sean Smith, Chief Executive Officer |
Tel: 01285 359 555 |
Alex Abrey, Chief Financial Officer |
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Shore Capital and Corporate Limited |
www.shorecap.com |
Stephane Auton/Patrick Castle |
Tel: 020 7408 4090 |
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Walbrook PR Ltd |
Tel: 020 7933 8780 or [email protected] |
Paul McManus |
Mob: 07980 541 893 |
Lianne Cawthorne |
Mob: 07584 391 303 |
This Announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 ("MAR"). Upon the publication of this announcement, this inside information is now considered to be in the public domain.
Notes:
Eden Research is a technology development and commercialisation company with intellectual property and expertise in encapsulation, terpenes and environmentally friendly technologies to provide naturally occurring solutions for the global agrochemicals, animal health, and consumer product industries.
Eden's encapsulation technology harnesses the biocidal efficacy of naturally occurring chemicals produced by plants (terpenes) and can also be used with both natural and synthetic compounds to enhance their performance and ease-of-use. The technology uses yeast cells that are a by-product of numerous commercial production processes to deliver a slow release of natural compounds for agricultural and non-agricultural uses. Terpenes are already widely used in the food flavouring, cosmetics and pharmaceutical industries.
Historically, terpenes have had limited commercial use in the agrochemical sector due to their volatility, phytotoxicity and poor solubility. Eden's platform encapsulation technology provides a unique, environmentally friendly solution to these problems and enables terpenes to be used as effective, low-risk agrochemicals.
The Company is developing these technologies through innovative research and a series of commercial production, marketing and distribution partnerships.
The Company has a number of patents and a pipeline of products at differing stages of development targeting specific areas of the global agrochemicals industry. To date, the Company has invested in the region of £12m in developing and protecting its intellectual property and seeking regulatory approval for products that rely upon the Company's technologies. Revenues earned by the Company have been modest whilst the Company has concentrated on securing patent protection for its intellectual property, gaining regulatory approvals, identifying suitable industrial partners, and entering into commercial agreements.
In May 2013, the three actives that comprise Eden's first commercial product, 3AEY, were approved as new ingredients for use in plant protection products. This represents a major milestone in the commercialisation of Eden's technology and is a significant accomplishment for any company. To illustrate this point, one should note that in all of 2013, Eden's approvals represented 3 of only 10 new active ingredients approved by the EC.
3AEY has been authorised for sale in Kenya, Malta, Greece, Bulgaria, Spain, Italy and France.
Eden was admitted to trading on AIM on 11 May 2012 and trades under the symbol EDEN.
For more information about Eden, please visit: www.edenresearch.com
