REG - Malin Corp PLC - 2022 Full Year Results & Notice of AGM

MalinAnnouncement

16/02/2023 07:00

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RNS Number : 0730Q  Malin Corporation PLC  16 February 2023

Malin Corporation plc

 

2022 Full Year Results and Notice of 2023 AGM

 

·    Estimated intrinsic equity value per share is €9.34 at 31
December 2022 and €10.07 at 14 February 2023

·   Malin generated cash proceeds of approximately €145 million by selling
its entire position in Immunocore

·    Proposed return of capital up to €140 million by way of a tender
offer that Malin has announced separately today

·   Malin's AGM will be held on 10 March 2023, immediately following its EGM
to vote on tender offer resolutions

 

Dublin-Ireland, 16 February 2023: Malin Corporation plc (Euronext Growth
Dublin:MLC) ("Malin", the "Company"), a company investing in highly innovative
life sciences companies, today publishes its full year results and annual
report for the year ended 31 December 2022. Malin today also announces that
the Letter from the Chairman, Notice of Annual General Meeting ("AGM") and
Form of Proxy have been issued to shareholders.

 

Darragh Lyons, Chief Executive Officer, said:

 

"We are very pleased with the progress made by the business during 2022. The
focus of our business strategy over the past few years has been to protect and
enhance the value of our positions in our investee companies while these
businesses worked towards reaching important business milestones. The
achievement of these milestones by our investee companies has catalysed value
realisation opportunities for Malin. Over the past two years, we have realised
over €325 million of capital from our investments, including approximately
€145 million of cash proceeds from the divestment of our entire 5% stake in
Immunocore during 2022 at what we determined was an optimal value inflection
point for Malin. This capital realisation underpins the proposed return of
capital up to €140 million to shareholders by way of a tender offer that we
are announcing separately today."

 

Estimated intrinsic equity value

 

·  Malin's intrinsic equity value at 31 December 2022 was estimated to
be €9.34 per share, or €317.3 million and is arrived at by taking the
aggregate fair value of our investee company holdings in accordance with the
International Private Equity and Venture Capital Valuation ("IPEV") Guidelines
and adjusting this value for Malin's corporate cash.

 

·  Malin's estimated intrinsic equity value at 14 February 2023 has
increased to €10.07 per share, or €342.4 million primarily due to an
increase in the share price of Malin's NASDAQ-listed biotech holding, Poseida
Therapeutics, Inc. ("Poseida").

 

 

Fair value of investee companies

 

·    The aggregate fair value of Malin's interests in its investee
companies was €143.4 million at 31 December 2022 compared to €263.0
million at 31 December 2021. The decrease in the aggregate fair value during
2022 is largely due to the divestment of Immunocore during the year along with
distributions received from Viamet and Kymab. The aggregate fair value was
also negatively impacted by updated, lower fair value estimates for Malin's
stakes in Viamet and Xenex. The reduction in the aggregate fair value is
partially offset by the addition of a new investee company, CG Oncology, in
September 2022 with a $7 million investment.

 

·    The aggregate fair value of Malin's interests in its investee
companies increased to €168.8 million as at 14 February 2023 as a result
of the increase in the market share price of Poseida.

 

Cash Position

 

·   Malin's corporate cash balance at 31 December 2022 was €173.9
million compared to €32.7 million at 31 December 2021.

 

·   Malin's cash balance was significantly boosted during 2022 by €166.1
million of investment realisations and other inflows from investee companies.
The principal component of these inflows was €144.8 million in cash proceeds
generated from the sale of Malin's entire 5% stake in Immunocore.

 

·     Malin's cash balance at 14 February 2023 was €173.6 million.

 

 Investee Company Highlights

 

Poseida

·   Strategic collaboration and license agreement with Roche announced in
August 2022 focused on the research and development of allogeneic CAR-T cell
therapies directed to haematologic malignancies utilising Poseida's
proprietary genetic engineering platforms.

 

·    Poseida received $110 million upfront from Roche and received a
further $35 million from Roche in October 2022 following the successful
achievement of the first clinical milestone. Poseida is eligible to receive up
to $75 million of additional near-term fees, milestones and other payments. In
addition, subject to Roche exercising its options and contingent on
achievement of specified development, regulatory, and net sales milestone
events, Poseida is eligible to receive payments potentially up to $6.0 billion
in aggregate value, as well as tiered net sales royalties into the low double
digits, across the multiple programs.

 

 

·    Following the announcement of the Roche collaboration, Poseida
completed an underwritten public offering of shares raising gross proceeds of
approximately $80 million. Malin acquired approximately 2.2 million shares at
the public offer price of $3.50 per share for aggregate consideration of
approximately $7.5 million. Malin's equity stake in Poseida following the
completion of the offering is approximately 14%.

Viamet

·    In April 2022, Mycovia, the successor company to Malin's investee
company Viamet, announced the approval from the United States Food and Drug
Administration (FDA) of VIVJOA(®) (oteseconazole) for the treatment of
recurrent vulvovaginal candidiasis ("RVVC") in females with a history of RVVC
and who are not of reproductive potential.

 

·    In November 2022, Malin received a distribution from Viamet of
approximately €13 million following Viamet's receipt of a milestone payment
related to the approval of VIVJOA(®). Malin received other distributions from
Viamet of €0.7 million during 2022.

Kymab

·    In November 2022, Malin received approximately €6 million in
connection with the release of its portion of the escrow payment on the
upfront consideration payable to Malin in connection with the sale of its
shareholding in investee company, Kymab Group Limited, to Sanofi in 2021.

 

·    As part of the Kymab sale, Malin could receive up to a further $33
million from its share of milestone-related contingent payments.

 

CG Oncology

·    Malin completed a $7 million investment in CG Oncology ("CGO") in
September 2022 as part of a $120 million funding round. CGO is a Phase 3-stage
oncolytic immunotherapy company focused on developing bladder-saving
therapeutics for patients with bladder cancer.

 

 

Annual Report

 

Malin's annual report and further information on Malin is available to view on
Malin's website at www.malinplc.com (http://www.malinplc.com/) , under the
Investors' section.

 

 

 

 

 

 

2023 AGM

 

The Letter from the Chairman, Notice of Annual General Meeting and Form of
Proxy have been issued to shareholders.  An electronic copy of all documents
is also available on the Company's website at www.malinplc.com
(http://www.malinplc.com) .

Malin's 2023 AGM will be held in the Conrad Dublin Hotel, Earlsfort Terrace,
Dublin 2, D02 V562, Ireland at 10:15am GMT on Friday, 10 March 2023.

The Notice of AGM sets out the resolutions to be proposed at the AGM and the
processes by which shareholders may vote in connection with the AGM.

In addition, a teleconference facility will be available to any shareholders
not in physical attendance at the AGM to listen remotely to the proceedings
of the meeting, using the following details:

From Ireland dial:                         01 5369584

From the UK dial:                          020 3936
2999

From the USA dial:                        1 646 664 1960

From other locations dial:          +44 20 3936 2999

Listen-Only Access Code:            730530

 

ENDS

 

About Malin Corporation plc

 

Malin (Euronext Growth Dublin:MLC) is a company investing in highly innovative
life sciences companies. Its purpose is to create shareholder value through
the application of long‑term capital and operational and strategic expertise
to a diverse range of global healthcare businesses. Malin has a focus on
innovative businesses underpinned by exceptional science and works with its
investee companies, providing strategic and financial support to enable them
to reach their value potential. Malin is headquartered and domiciled in
Ireland and listed on the Euronext Growth Dublin. For more information visit
www.malinplc.com (http://www.malinplc.com) .

For further information contact:

 

Malin

Andrea Stafford, Head of Finance

Tel: +353 (0)1 901 5700

investorrelations@malinplc.com (mailto:investorrelations@malinplc.com)

 

Davy Corporate Finance (Euronext Growth Listing Sponsor & Joint Broker)

Brian Garrahy / Daragh O'Reilly

Tel: +353 1 679 6363

 

 

Liberum (Joint Broker)

Phil Walker / Ben Cryer

Tel: +44 (0) 20 3100 2000

 

Powerscourt (Irish Media enquiries)

Eavan Gannon

Tel: +353 87 236 5973

malin@powerscourt-group.com (mailto:malin@powerscourt-group.com)

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