nanosynth group plc (LON:NNN), the AIM quoted company has presented its unaudited half yearly report for the six-month period ended 30 June 2021.
OVERVIEW
· The financial commentary is set out below and the following events have all occurred post 30 June 2021.
o On 17 August 2021, the Company agreed to return control of Gyrometric Systems Ltd to its founders, leaving the Company with a minority holding of 15%.
o On 23 August 2021, Remote Monitored Systems plc changed its name to nanosynth group plc following shareholder approval at its Annual General Meeting
o On 24 August 2021, the Company agreed to return the mask making machine to Lemu Group for a minimum of €180,000
o On 1 September 2021, Mark Duffin was appointed Chief Executive Officer of nanosynth group plc and Antony Legge reverted to his previous role of non-executive Chairman.
CHAIRMAN’S STATEMENT
The arrival of Mark Duffin as Group CEO on 1 September 2021, has brought a new dynamism to the business. As previously announced, the year to date has posed several challenges as the Company has needed to undertake a number of significant changes. The restructuring of the Group is now nearly completed. The mask manufacturing machine will now be returned to Lemu Group within the next month with cash receipts to follow accordingly, and the manufacturing of the masks is now fully outsourced, leaving the Group free to concentrate on the development of the intellectual property that exists inside Pharm 2 Farm Ltd (“P2F”), the Group’s main subsidiary. At the time of the Annual General Meeting, just six weeks ago, we announced that discussions were ongoing regarding several initiatives and we remain confident that these will be concluded satisfactorily in the near term. Sales remains a key focus and the team here is being strengthened with new sales and marketing hires.
There still remains work to be done, but I am confident that after all the developments in the year to date, the Group is positioned to move ahead positively.
Mark Duffin, nanosynth CEO, commented:
“Since my arrival four weeks ago, it is clear that there is an opportunity within the Group to develop and productise a host of future R&D streams of activity. The depth of scientific knowledge is encouraging and this will support the commercialisation of future products. Notwithstanding this, changes need to be made so that the Group can develop the market opportunities. Significant progress has been made in a short space of time and we’re looking forward to the future.”
Financial Overview
During the six months to 30 June 2021, the Group recorded revenues from continuing operations of £135,116 compared with £13,563 for the six months to 30 June 2020. The operating loss from continuing operations for the periodwas £1,194,493 (30 June 2020: £199,740). This includes the previously announced payments to FortOak Rolls Limited (a company wholly owned by Alex Vergopoulos, a former director of the Company) of 150,000 and 8 million shares and options over a further 7 million shares in recognition of services provided. The loss for the periodfrom continuing operations was £1,194,493 (30 June 2020: £202,862). The loss per share was 0.058 pence (30 June 2020: loss per share 0.041 pence).
● Consolidated net assets at 30 June 2021 amounted to £6,943,250 (31 December 2020: £6,896,805).
● Cash and cash equivalent balances at the period end amounted to £4,665,424 (31 December 2020: £3,741,135).
● As at 29 September 2021, the Group had cash and cash equivalents totalling £4,140,540.
● During the period the Company raised £939,225 net of costs through the issue of new shares as a result of the exercise of warrants and options. In addition £1,505,000 was received in respect of shares issued in the previous period.
Acknowledgments
On behalf of the Board, I would like to extend our thanks to our business partners, customers, employees and shareholders for their continued support throughout the period.
Antony Legge
Non-Executive Chairman
