REG - Malin Corp PLC - 2023 Full Year Results and Notice of 2024 AGM

MalinAnnouncement

28/02/2024 07:00

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RNS Number : 6920E  Malin Corporation PLC  28 February 2024

 

 

Malin Corporation plc

 

2023 Full Year Results and Notice of 2024 AGM

 

·    Estimated intrinsic equity value per share is €6.56 at 31
December 2023 and €7.91 at 26 February 2024

·    Malin returned €140.7 million of capital to shareholders through a
tender offer and on-market buybacks in 2023

·    Important clinical and regulatory milestones achieved by Malin's
investee companies during 2023

·    Mr Liam Daniel's role to revert to Non-Executive Chair following the
2023 leadership transition

·    Malin's AGM will be held on 28 March 2024

 

Dublin-Ireland, 28 February 2024: 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 2023. Malin today also announces that
the Letter from the Chair, Notice of Annual General Meeting ("AGM") and Form
of Proxy have been issued to shareholders.

 

Malin has previously communicated that its strategy going forward will focus
on maximising shareholder returns by protecting and enhancing the value of
Malin's remaining positions in its investee companies. With this refined
strategy in mind, in 2023 the leadership of the Company transitioned from
Darragh Lyons to Fiona Dunlevy, who has held several senior positions in the
Company since 2015. Mr Liam Daniel undertook additional duties as Executive
Chair during this period. Following a successful transition, the Board now
considers it appropriate for Mr Daniel's role to revert to Non-Executive Chair
with effect from 29 February 2024.

 

Fiona Dunlevy, Executive Director, said:

 

"We are pleased with the progress made by the business during 2023. 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, insofar as
possible, while these businesses worked towards reaching important business
milestones. During 2023, we continued our execution of this strategy, starting
the year with the return of €140 million of capital to shareholders via a
tender offer which had been brought about by capital generated from the
successful divestment of a number of investee companies."

 

Estimated intrinsic equity value

 

·    Malin's intrinsic equity value at 31 December 2023 was estimated to
be €6.56 per share, or €123.7 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 balance.

 

·    Malin's estimated intrinsic equity value at 26 February 2024 has
increased to €7.91 per share, or €149.1 million primarily due to an
increase in the share price of Malin's NASDAQ-listed biotech holding, CG
Oncology Inc. ("CGO").

 

Fair value of investee companies

 

·    The aggregate fair value of Malin's interests in its investee
companies was €94.4 million at 31 December 2023 compared to €143.4
million at 31 December 2022. The decrease in the aggregate fair value during
2023 is largely due to the reduction in the Poseida share price during the
year along with distributions received from Viamet. The aggregate fair value
was also reduced as a result of updated fair value estimates for Malin's
stakes in Viamet and Xenex. The reduction in the aggregate fair value is
partially offset by an increase in the fair value of Malin's interest in CGO,
resulting from an additional investment by Malin in July 2023 of €2.1
million and an increase in the fair value of Malin's interest in CGO based on
the company's initial public offering ("IPO") price.

 

·    The aggregate fair value of Malin's interests in its investee
companies increased to €114.6 million as at 26 February 2024 as a result
of the increase in the market share price of CGO since its IPO on 25 January
2024.

 

Cash Position

 

·    Malin's corporate cash balance at 31 December 2023 was €29.3
million compared to €173.9 million at 31 December 2022.

 

·    The reduction in Malin's cash balance over this period is primarily
as a result of the €140 million tender offer in March 2023 and a €2.1
million follow-on investment in CGO in July 2023.

 

·    Malin's cash balance at 26 February 2024 was €34.5 million, having
increased since 31 December 2023 as a result of the receipt of a contingent
milestone payment related to the 2021 sale of Kymab to Sanofi.

 

·    Malin remains committed to returning excess capital to its
shareholders, having taken into account potential investments into its
existing investee companies if strategically or financially attractive
investment opportunities arise and the operational needs of the business.

Investee Company Highlights

 

Poseida

·    Poseida made important progress with its clinical and pre-clinical
cell therapy pipeline during 2023. The company presented positive early safety
and preliminary efficacy data from its P-BCMA-ALLO1 Phase 1 trial at the
65th American Society of Hematology ("ASH") Annual Meeting in December
2023.

 

·    In July 2023, Poseida received IND clearance from the FDA for
P-CD19CD20-ALLO1, an allogeneic CAR-T product being developed to target B-cell
malignancies in partnership with Roche, to allow patient dosing to commence in
early 2024. P-CD19CD20-ALLO1 is Poseida's first dual CAR-T program, containing
two fully functional CAR molecules to target cells that express either CD19 or
CD20.

 

·    In August 2023, Poseida announced a $50 million strategic
investment by Astellas, which comprised of the purchase of 8.3 million common
shares of Poseida, representing approximately 8.8% of Poseida and a right of
exclusive negotiation and first refusal for any potential partnering of
P-MUC1C-ALLO1, Poseida's allogeneic CAR-T cell therapy product candidate for
solid tumours.

 

·    Poseida announced in November 2023 that, based upon substantial
progress in its P-BCMA-ALLO1 and P-CD19CD20-ALLO1 programs, certain payments
as well as the expected timing of achievement of upcoming milestones in
programs under its collaboration with Roche have been accelerated, resulting
in expected cash runway into the second half of 2025.

CG Oncology

·    CGO closed a $105 million Series F crossover financing in July 2023,
in which Malin made a follow-on investment of €2.1 million ($2.3 million) in
the company.

 

·    CGO completed the first biotech IPO of 2024 in January, raising $437
million at an IPO price per share of $19 and listing on the Nasdaq Global
Select Market under the ticker symbol "CGON". Malin made a further investment
of approximately $1 million in the IPO. All shares acquired by Malin in CGO
pre-IPO are restricted from resale for a period of 180 days under market
standoff and lock‑up agreements.

 

·    In November 2023 CGO announced positive interim data from its
BOND-003 Phase 3 monotherapy clinical trial of cretostimogene grenadenorepvec
for the treatment of Non-Muscle Invasive Bladder Cancer ("NMIBC") in patients
who are unresponsive to BCG. The company expects to report topline data from
this study by the end of 2024, which if successful, could serve as the basis
for a BLA submission to the FDA.

 

·    In December 2023, CGO announced that the FDA had granted fast track
and breakthrough therapy designations to cretostimogene grenadenorepvec for
use as a potential therapeutic option in patients with high-risk
BCG-unresponsive NMIBC.

Xenex

·    In September 2023, Xenex announced that the U.S. Food and Drug
Administration ("FDA") had granted the company De Novo authorisation for its
LightStrike™+ device, a high-intensity, broad-spectrum ultraviolet (UV)
light robot.

 

Kymab

·    Malin previously announced that, in connection with the Kymab sale to
Sanofi in 2021, it could receive up to a further $33 million from Malin's
share of milestone-related contingent payments. In February 2024, Malin
received €6.5 million by way of the first of these potential
milestone-related contingent payments.

 

Viamet

·    During the second half of 2023, Malin received distributions from
Viamet of approximately €1.3 million relating to milestone payments
triggered by ex-US development progress.

Annual Report

 

Malin's 2023 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.

 

2024 AGM

 

The Letter from the Chair, 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 2024 AGM will be held in the Conrad Dublin Hotel, Earlsfort Terrace,
Dublin 2, D02 V562, Ireland at 1:00p.m. GMT on Thursday, 28 March 2024.

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:                         01 691 7842

From the UK dial:                          020 3936
2999

From the USA dial:                        1 646 787 9445

From other locations dial:          +44 20 3936 2999

Listen-Only Access Code:            084241

 

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

Fiona Dunlevy, Executive Director / Company Secretary

Tel: +353 (0)1 901 5700

cosec@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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