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Mitsubishi Heavy Industries Engineering to Test Carbon Capture Technology at Technology Centre Mongstad in Norway

Mitsubishi Heavy Industries Engineering to Test Carbon Capture Technology at Technology Centre Mongstad in Norway

 

TOKYO–(BUSINESS WIRE)–
Mitsubishi Heavy Industries Engineering (MHIENG), part of Mitsubishi Heavy Industries (MHI) Group, has entered into an agreement with Technology Centre Mongstad (TCM) to test its proprietary solvent for capturing CO2 at the amine plant located in Mongstad, Norway. The test campaign will start in May.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210304006210/en/

Technology Centre Mongstad located at the west coast of Norway (Photo: Business Wire)

Technology Centre Mongstad located at the west coast of Norway (Photo: Business Wire)

The proprietary solvent to be tested is the KS-21TM, an amine-based adsorbent used in the “Advanced KM CDR ProcessTM” newly developed by MHIENG in collaboration with Kansai Electric Power Co., Inc. (KEPCO). Its long-term usage will be demonstrated in Norway, one of the world’s most advanced countries with respect to environmental regulations on CO2 capture, in a quest to achieve commercialization within 2021. Compared to the earlier KS-1TM solvent, which has been adopted at 13 commercial plants delivered by MHIENG, KS-21TM has a number of advantageous properties such as lower volatility and greater stability against degradation. The newer solvent is also expected to enable reduced running costs and other economic benefits.

At a time when CO2 capture needs are expanding in the United Kingdom and Europe, the test program at TCM, which has state-of-the-art facilities and specialized knowledge, will confirm KS-21TM’s long-term durability and assess its environmental impact, thus providing MHIENG with technological data relating to its significantly higher CO2 capture rate. The test program will enable MHIENG to set a timetable for KS-21TM’s commercialization, opening the way for the company to expand orders in the UK and European markets.

Since its establishment in 2012, TCM, equipped with the world’s largest-scale CO2 capture testing facilities, has provided users with profound knowledge, online analysis, and advanced analytical technologies relating to the trace components of gas emissions. Its data accumulated through testing exceed 1,000 categories and contribute significantly to commercialization of absorbents.

On reaching the new agreement with TCM, Kenji Terasawa, MHIENG President & CEO commented: “MHI Group today is strengthening its efforts in the energy transition field, to help realize a carbon neutral world on a global scale. For many years, MHIENG has strived to minimize CO2 emissions from gas emissions, utilizing its cutting-edge technologies. Today we possess reliable and economically feasible carbon capture technologies supported by more than three decades of research and development activity and a robust track record of commercial plants around the world. TCM’s abundant knowledge and experience in environmental impact assessment, and its state-of-the-art testing environment, will raise the level of our CO2 capture technologies further, enabling us to accelerate business expansion in the vital UK and European markets. We expect the new testing program will contribute to realizing carbon neutrality in the years ahead.”

Ernst Petter Axelsen, CEO at TCM, also welcomed the new collaboration. “It’s very satisfying that a leading capture technology developer like MHIENG has chosen TCM as the arena for their carbon capture tests. Our staff is ready to ensure effective execution of the tests, and to provide expert advice throughout the campaign.”

About KM CDR Process™

MHI Group together with Kansai Electric Power Co, Inc. (KEPCO) started the development of the Kansai Mitsubishi Carbon Dioxide Recovery KM CDR Process™, a post-combustion carbon capture technology, in 1990. As of February 2021, MHIENG has delivered a total of 13 commercial plants with the KM CDR Process™, making it a global leader in carbon capture technology deployment. Two more plants are currently under construction.

https://www.youtube.com/watch?v=9PtnuRWOQAY&t=1s

TCM offers unique test facilities

TCM’s test facilities for CO2 capture consist of an amine plant, a chilled ammonia plant, as well as an area for new, groundbreaking modular capture technologies. Both the amine and the chilled ammonia plants capture CO2 by means of a chemical liquid known as a solvent, consisting of a mix of water and either amine- or ammonia-based solutions. Starting in 2021, the site for modular technologies will be used for testing technologies such as membranes and adsorbents (solid materials that bind CO2).

TCM uses two different industrial live flue gas sources (fluidized catalytic cracker and combined cycle gas turbine) from Equinor’s refinery at Mongstad, with different content of CO2.

The amine plant is a unit with generic capabilities developed to serve as a demonstrator for solvent-based capture technologies. The unit has so far been utilized by five technology developers in addition to scientific testing using non-proprietary solvents (monoethanolamine and CESAR 1) for helping developments in the global carbon capture community.

For more information, please contact:

Ernst Petter Axelsen, CEO at Technology Centre Mongstad (TCM) +47 982 08 618

Group Strategy Promotion Office, Corporate Communications Dept., Mitsubishi Heavy Industries ([email protected])

KEYWORDS: Ireland United Kingdom Japan Asia Pacific Europe Norway

INDUSTRY KEYWORDS: Engineering Chemicals/Plastics Other Energy Environment Manufacturing Energy

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Technology Centre Mongstad located at the west coast of Norway (Photo: Business Wire)
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Norsk Hydro: Invitation to Investor presentation – Hydro agrees to sell Rolling business area to KPS Capital Partners

President & CEO, Hilde Merete Aasheim, will present the transaction by an audio webcast and a conference call, in English, at 09:00 CET today, Friday 5 March.

In order to listen to the presentation, please join the audio webcast. There will be a Q&A session directly after the presentation. If you would like to ask questions, you need to join the conference call before end of the presentation. Please see details below. It will not be possible to ask questions on the audio webcast.

To join the conference call, please use the below “Click to Join” link 5-10 minutes prior to start time. You will be asked to enter your phone number and registration details. The Event Conferencing system will call you on the phone number you provide and place you into the event. Please note that the “Click to Join” link becomes active 15 minutes prior to the scheduled start time.

Please use the “Click to Join” option for the easiest way to join the conference call.


Click to Join Call 09:00 CET >>

As an alternative, use the dial-in numbers below for the conference call:

Norway   +47 2100 2613
UK          +44 (0)330 336 9104
USA       +1 323-794-2442
Sweden  +46 (0)8 5033 6573
Brazil      +55 11 3181 5319
Germany +49 (0)89 2030 31236

Participant Passcode:
129096

Contact details:

Investor contact:
Line Haugetraa
+47 41406376

Media contact:
Halvor Molland
+47 92979797



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Norsk Hydro: Hydro agrees to sell Rolling business area to KPS Capital Partners for EUR 1,380 million

Energy and aluminium company Norsk Hydro ASA has entered into an agreement to sell its Rolling business to KPS Capital Partners for EUR 1,380 million on an enterprise value basis. A major step on Hydro’s agenda to improve profitability and drive sustainability.

The transaction includes seven plants, one R&D center, global sales offices, and around 5,000 employees of which 650 employees in Norway and the remaining mainly in Germany.

“Hydro launched a strategic review of our Rolling business area in 2019, along with other strategic measures towards profitability and sustainability. We have now concluded, and our Rolling business will continue its development under new ownership. This is a good solution for both Hydro and for the employees in Rolling, who will continue their efforts and continued growth in a new, dedicated downstream company,” says Hydro President and CEO Hilde Merete Aasheim.

“Hydro’s ambition is to lift profitability and drive sustainability, creating value for all stakeholders. The sale of Rolling will strengthen our ability to deliver on our strategy, strengthening our position in low-carbon aluminium, while exploring new growth in areas where our capabilities match global megatrends,” says Aasheim.

In 2020, Hydro Rolling contributed approximately NOK 24 billion in revenue, 17% of Hydro total and NOK 1.3 billion in Underlying EBITDA, 9% of Hydro total. The sales amounted to 864,000 tonnes, serving segments including Can, Foil, Lithography, Automotive and General Engineering.

In addition to delivering on Hydro’s strategic ambitions, the sale will assist in strengthening the balance sheet.

KPS Capital Partners is a well-regarded and operationally focused global private equity firm, with a history of holding significant interests in metals and automotive enterprises. KPS Capital Partners is aligned with Hydro on having safety as a first priority on the agenda and is well positioned to execute on improvements identified in the strategic review of Rolling. They also have established relationship and Framework Agreements with the German unions IG Metall and IG BCE.

“KPS is enthusiastic about the opportunity to further develop Rolling to its full potential, including providing the resources necessary to execute a business transformation. We have spent three months closely analyzing the business in the customary detailed due diligence, have been highly impressed with the Rolling management team, and look forward to partnering with them and the entire Rolling team to invest in and grow the business,” says Michael Psaros, Co-Founder and Co-Managing Partner of KPS Capital Partners.

The agreed transaction price of EUR 1,380 million will result in a reduction of EUR 856 million in pension liabilities and EUR 435 million cash proceeds. The transaction is subject to customary approvals from competition authorities and is expected to be completed during second half of 2021. Executive Vice President and Head of Hydro Rolling, Einar Glomnes, will become CEO of the new company after closing.

The Rolling operations will be treated as an asset held for sale and discontinued operations in Hydro’s financial reporting from the first quarter of 2021. The valuation indicates an impairment of EUR 160 – 190 million, which will be included in the annual financial statements for 2020.

President & CEO, Hilde Merete Aasheim, will present the transaction by an audio webcast and a conference call, in English, at 09:00 CET today, Friday 5 March.

The referred measures EBIT, EBITDA, Underlying EBIT and Underlying EBITDA represent alternative performance measures (APMs). Hydro’s definitions and use of IPMs is described in the section Alternative performance measures (APMs) in the fourth quarter 2020 report. This section also includes a description of items excluded from underlying EBIT and underlying EBITDA. EBIT and EBITDA are also segment measures, disclosed in note 2 Operating segment information in Hydro’s fourth quarter 2020 report.  

Hydro Rolling

MNOK, 2020      
  Hydro Total Rolling % Rolling
Revenue 138,118 23,903 17.3 %
EBITDA 19,465 1,132 5.8 %
uEBITDA 14,316 1,267 8.9 %

Contact details:

Investor contact:
Line Haugetraa
+47 41406376

Media contact:
Halvor Molland
+47 92979797

The information is such that Hydro is required to disclose in accordance with the EU Market Abuse Regulation. The information was submitted for publication from Hydro Investor Relations and the contact persons set out above.

Certain statements included in this announcement contain forward-looking information, including, without limitation, information relating to (a) forecasts, projections and estimates, (b) statements of Hydro management concerning plans, objectives and strategies, such as planned expansions, investments, divestments, curtailments or other projects, (c) targeted production volumes and costs, capacities or rates, start-up costs, cost reductions and profit objectives, (d) various expectations about future developments in Hydro’s markets, particularly prices, supply and demand and competition, (e) results of operations, (f) margins, (g) growth rates, (h) risk management, and (i) qualified statements such as “expected”, “scheduled”, “targeted”, “planned”, “proposed”, “intended” or similar. Although we believe that the expectations reflected in such forward-looking statements are reasonable, these forward-looking statements are based on a number of assumptions and forecasts that, by their nature, involve risk and uncertainty. Various factors could cause our actual results to differ materially from those projected in a forward-looking statement or affect the extent to which a particular projection is realized. Factors that could cause these differences include, but are not limited to: our continued ability to reposition and restructure our upstream and downstream businesses; changes in availability and cost of energy and raw materials; global supply and demand for aluminium and aluminium products; world economic growth, including rates of inflation and industrial production; changes in the relative value of currencies and the value of commodity contracts; trends in Hydro’s key markets and competition; and legislative, regulatory and political factors. No assurance can be given that such expectations will prove to have been correct. Hydro disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act

Attachment



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Moderna Announces New Drug Application Submitted to Import and Distribute Moderna’s COVID-19 Vaccine Candidate in Japan

Moderna Announces New Drug Application Submitted to Import and Distribute Moderna’s COVID-19 Vaccine Candidate in Japan

50 million doses of Moderna’s COVID-19 vaccine candidate expected to be distributed beginning in the first half of 2021, pending licensure in Japan

CAMBRIDGE, Mass.–(BUSINESS WIRE)–Moderna, Inc. (Nasdaq: MRNA), a biotechnology company pioneering messenger RNA (mRNA) therapeutics and vaccines, today announced that Takeda Pharmaceutical Co., Ltd (NYSE: TAK) submitted a New Drug Application to the Government of Japan’s Ministry of Health, Labour and Welfare (MHLW) to import and distribute Moderna’s vaccine candidate against COVID-19 (mRNA-1273 or TAK-919) in Japan. TAK-919 is Takeda’s development code for Moderna’s COVID-19 vaccine candidate.

“Submitting this NDA is an important step in the clinical development of our COVID-19 vaccine in Japan,” said Stéphane Bancel, Chief Executive Officer of Moderna. “The Phase 1/2 study is the first clinical trial of a Moderna product in Japan. We thank Takeda, the MHLW and the participants in the study for helping advance our goal to protect the Japanese population from COVID-19 with a vaccine.”

Takeda is conducting a placebo-controlled Phase 1/2 study designed to evaluate the safety and immunogenicity of two vaccinations of mRNA-1273 at the 100 μg dose level given 28 days apart in 200 participants aged 20 years and above in Japan. Participants will be followed through 12 months after the second vaccination. The ClinicalTrials.gov identifier is NCT04677660. Takeda completed enrollment of this Phase 1/2 study in February, 2021. Once available, the Phase 1/2 study results will be submitted to the Japan Pharmaceuticals and Medical Devices Agency (PMDA).

Takeda and Moderna previously announcedthat Takeda will import and distribute 50 million doses of Moderna’s COVID-19 vaccine candidate starting in the first half of 2021, pending licensure in Japan.

About Moderna

In 10 years since its inception, Moderna has transformed from a science research-stage company advancing programs in the promising-but-still-unproven field of messenger RNA (mRNA), to an enterprise with its first medicine having treated millions of people, a diverse clinical portfolio of vaccines and therapeutics across six modalities, a broad intellectual property portfolio in areas including mRNA and lipid nanoparticle formulation, and an integrated manufacturing plant that allows for both clinical and commercial production at scale and at unprecedented speed. Moderna maintains alliances with a broad range of domestic and overseas government and commercial collaborators, which has allowed for the pursuit of both groundbreaking science and rapid scaling of manufacturing. Most recently, Moderna’s capabilities have come together to allow the authorized use of one of the earliest and most-effective vaccines against the COVID-19 pandemic.

Moderna’s mRNA platform builds on continuous advances in basic and applied mRNA science, delivery technology and manufacturing, and has allowed the development of therapeutics and vaccines for infectious diseases, immuno-oncology, rare diseases, cardiovascular diseases and auto-immune diseases. Today, 24 development programs are underway across these therapeutic areas, with 13 programs having entered the clinic. Moderna has been named a top biopharmaceutical employer by Science for the past six years. To learn more, visit www.modernatx.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including statements regarding the submission of a New Drug Application to Japan’s Ministry of Health, Labour and Welfare for mRNA-1273, Moderna’s COVID-19 vaccine candidate, the conduct of clinical trials for the COVID-19 vaccine in Japan, the potential regulatory approval of the COVID-19 vaccine by Japanese regulators, and the importation and sale of 50 million doses of the COVID-19 vaccine in Japan. In some cases, forward-looking statements can be identified by terminology such as “will,” “may,” “should,” “could,” “expects,” “intends,” “plans,” “aims,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” “continue,” or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. The forward-looking statements in this press release are neither promises nor guarantees, and you should not place undue reliance on these forward-looking statements because they involve known and unknown risks, uncertainties, and other factors, many of which are beyond Moderna’s control and which could cause actual results to differ materially from those expressed or implied by these forward-looking statements. These risks, uncertainties, and other factors include, among others: the fact that there has never been a commercial product utilizing mRNA technology approved for use; the fact that the rapid response technology in use by Moderna is still being developed and implemented; the safety, tolerability and efficacy profile of the Moderna COVID-19 Vaccine observed to date may change adversely in ongoing analyses of trial data or subsequent to commercialization; the Moderna COVID-19 Vaccine may prove less effective against variants of the SARS-CoV-2 virus, or the Company may be unsuccessful in developing future versions of its vaccine against these variants; despite having ongoing interactions with the FDA or other regulatory agencies, the FDA or such other regulatory agencies may not agree with the Company’s regulatory approval strategies, components of our filings, such as clinical trial designs, conduct and methodologies, or the sufficiency of data submitted; Moderna may encounter delays in meeting manufacturing or supply timelines or disruptions in its distribution plans for the Moderna COVID-19 Vaccine; whether and when any biologics license applications and/or additional emergency use authorization applications may be filed in various jurisdictions and ultimately approved by regulatory authorities; potential adverse impacts due to the global COVID-19 pandemic such as delays in regulatory review, manufacturing and clinical trials, supply chain interruptions, adverse effects on healthcare systems and disruption of the global economy; and those other risks and uncertainties described under the heading “Risk Factors” in Moderna’s most recent Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (SEC) and in subsequent filings made by Moderna with the SEC, which are available on the SEC’s website at www.sec.gov. Except as required by law, Moderna disclaims any intention or responsibility for updating or revising any forward-looking statements contained in this press release in the event of new information, future developments or otherwise. These forward-looking statements are based on Moderna’s current expectations and speak only as of the date hereof.

Moderna

Media:

Colleen Hussey

Director, Corporate Communications

617-335-1374

[email protected]

Investors:

Lavina Talukdar

Head of Investor Relations

617-209-5834

[email protected]

KEYWORDS: Massachusetts United States Japan North America Asia Pacific

INDUSTRY KEYWORDS: Cardiology Biotechnology Health General Health Pharmaceutical Oncology Other Science Research Infectious Diseases Science Clinical Trials

MEDIA:

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Polyphor Announces Financial Results for the Full-Year 2020


  • Phase III trial patient enrollment for balixafortide completed in Q4 2020 despite COVID-19. Results expected for ORR and PFS in Q2 and Q4 2021 respectively



  • Exclusive licensing agreement for balixafortide in China with Fosun Pharma

  • Clinical Trial Authorization (CTA) granted by MHRA to initiate Phase I trial for inhaled murepavadin. Patient enrollment expected in Q3 2021

  • Grants for the antibiotics pipeline from CARB-X and CF Foundation enabling pipeline progression with non-dilutive financing

  • Research efforts for new CXCR4 lead candidate in hematologic malignancies and balixafortide in SARS-CoV-2 provide incremental pipeline expansion opportunity

  • Cash on hand of CHF 34.3 million as of December 31, 2020 is expected to finance operations into Q3 2021

ALLSCHWIL, Switzerland, March 05, 2021 (GLOBE NEWSWIRE) — Polyphor AG (SIX: POLN) a research driven clinical stage, Swiss biopharmaceutical company committed to discovering and developing best-in-class molecules in oncology and antimicrobial resistance today announced its financial results for the full-year of 2020 and provided a business update.

“Polyphor achieved significant progress in 2020 despite the unprecedented challenges of the COVID-19 pandemic. We have successfully completed the enrollment in our Phase III balixafortide (FORTRESS) trial in 2020 and the expected data readout in 2021 will be an important milestone and key priority for our company,” says Gökhan Batur, CEO of Polyphor: “Beyond our Phase III program with balixafortide in advanced cancer, we are rapidly progressing our R&D efforts in oncology and antibiotics. These additional efforts in progressing our mid-term pipeline can bring substantial benefit to patients and high value to our company and our shareholders.”

Balixafortide – FORTRESS Phase III trial enrollment closed with results expected for ORR and PFS in Q2 and Q4 2021 respectively

Polyphor’s FORTRESS study, a pivotal Phase III study evaluating balixafortide (POL6326) in combination with eribulin for the treatment of patients with HER2 negative, locally recurrent or metastatic breast cancer, had randomized 432 patients in November 2020, when enrollment was closed. The independent Data Safety Monitoring Board (DSMB) has completed the first, second and third pre-specified interim analyses of safety outcomes for the 193, 284 and 401 randomized patients respectively, and recommended that the study should continue without any modifications.

Data on the key primary endpoint, progression free survival (PFS), are expected in Q4 2021 to serve as basis for a regular submission of a New Drug Application (NDA) and Marketing Authorization Application in the U.S., where fast track review has been granted, and for a Marketing Authorization Application in the European Union (EU). Data on the first coprimary endpoint, objective response rate (ORR), is expected in Q2 2021, and could potentially lead to an accelerated approval in the U.S. Completion of the dossier for the NDA filing is on track to support potential breakthrough designation.

In August 2020, Polyphor entered into an exclusive licensing agreement for balixafortide in China with Fosun Pharma, one of the leading Chinese healthcare companies with a global footprint. This agreement represents an important milestone for the development and commercialization of balixafortide in one of the largest markets in oncology. Under the terms of the agreement, Polyphor received a USD 15 million upfront payment, and is eligible for additional development milestone payments of up to USD 19 million, sales milestones of up to USD 148 million and royalties on net sales in the territory, which start in the low double digits and increase to the mid-teens based on net sales achieved.

Polyphor is steadily conducting preclinical experiments for balixafortide in different combinations and tumors and plans to initiate a Phase Ib/II trial in earlier lines of metastatic breast cancer in combination with nab-paclitaxel. The start of the study is planned in Q3 2021, dependent on the COVID-19 situation. Beyond balixafortide, the company has identified another CXCR4 lead candidate to be explored in liquid cancers based on promising data in preclinical models. This lead candidate is a potent, specific, and highly selective antagonist of the chemokine receptor CXCR4.

Balixafortide – novel non-oncology indication

In a research collaboration with the University of Basel, Department of Biomedicine, balixafortide has demonstrated in a pre-clinical experiment using a CPE (cytopathic effect) assay a strong and robust activity against SARS-CoV-2 (COVID-19) infection at clinically relevant concentrations with no adverse cytotoxic effects. Based on this strong anti-viral effect in addition to the potential anticipated beneficial effects on disease progression of CXCR4 inhibitors (mitigation of cytokine storm, effects on vascular pathology, acute respiratory distress, and prevention of lung fibrosis), Polyphor plans to further investigate the profile of balixafortide against COVID-19 in non-clinical pharmacology studies. Given the non-clinical safety and toxicology program of balixafortide has been largely completed, Polyphor is currently evaluating the feasibility of a Phase II clinical proof of concept study in patients with confirmed COVID-19 infections.

Inhaled murepavadin – moved to Phase I clinical development

In December 2020, the UK Medicines and Healthcare Products Regulatory Agency (MHRA) granted a Clinical Trial Authorization (CTA) to start the first-in-human Phase I study of Polyphor’s novel class antibiotic murepavadin, delivered via the oral inhalation route. The start of patient enrollment in the Phase I study, evaluating safety, tolerability, and pharmacokinetic profile by using eFlow® Technology nebulizer (PARI Pharma GmbH) to administer murepavadin Inhalation Solution (MIS) in healthy volunteers, is expected in Q3 2021, to further optimize primary packaging providing better stability for later stages of development.

The Phase I study is part of the clinical development plan exploring the inhaled formulation of murepavadin to treat Pseudomonas aeruginosa infections in people with cystic fibrosis (CF), including resistant bacterial strains and is largely funded by the European Innovative Medicines Initiative (IMI). A Phase Ib/IIa trial in adults with CF, assessing safety and tolerability of ascending doses of inhaled murepavadin, is planned following completion of the Phase I study. In November 2020, Polyphor received an award of up to USD 3.3 million from the Cystic Fibrosis Foundation to help fund the planned Phase Ib/IIa study.

CARB-X awards fuel early antibiotics pipeline

Polyphor is pioneering a new class of antibiotics, OMPTAs (Outer Membrane Protein Targeting Antibiotic), that has the potential to offer new treatment options for patients with difficult-to-treat infections caused by Gram-negative pathogens, including resistant strains. The company’s two early-stage antibiotics programs, OMPTA-BamA and Thanatin Derivatives, focus exclusively on WHO Priority 1 pathogens and are planned to enter into clinical development over the next few years.

In October 2020, Polyphor received an award from CARB-X (Combating Antibiotic-Resistant Bacteria Biopharmaceutical Accelerator), a global partnership led by Boston University, to support the development of its thanatin-derivative antibiotics program. CARB-X will provide Polyphor with initial funding of up to USD 2.62 million to complete the hit-to-lead stage and up to USD 15.82 million if certain project milestones are met.

In December 2020, Polyphor extended an earlier funding agreement from 2019 with CARB-X to support the development of the company’s novel OMPTA-BamA program. CARB-X has committed to Polyphor additional funding of up to USD 2.3 million, bringing potential funding for this contractual stage to USD 5.1 million. The company may also receive up to USD 13 million in future option stages that could take the program through a first-in-human study if certain project milestones are met.

New member of the Board proposed

On its next Annual General Meeting, Polyphor will propose Hugh O’Dowd for election to the board of directors. Hugh O’Dowd currently serves as independent Non-executive Chairman on the Board of ONK Therapeutics, an innovative natural killer (NK) cell therapy company and as Non-executive Director on the Board of Puma Biotechnology, Inc (NASDAQ: PBYI), an oncology company. Until its acquisition by BioNTech SE in May 2020, he served for four years as President, Chief Executive Officer, and a member of the Board of Directors of Neon Therapeutics, Inc., a clinical-stage immuno-oncology company that developed neoantigen-based therapeutics.

Prior to Neon Therapeutics, Hugh O’Dowd spent more than 20 years in a variety of senior leadership roles at Novartis Pharmaceuticals Corporation including his role as Chief Commercial Officer of Novartis Oncology from 2011 to 2015. During this time, he was responsible for the oncology portfolio strategy for the world’s then second-largest oncology/hematology organization, including global brand leadership, business development/licensing, and commercialization.

Financial Results

Polyphor started 2020 with a solid financial position, a renewed strategy and organizational restructuring. This has allowed the company to allocate the majority of the cash position to the balixafortide program, while cystic fibrosis and antibiotics drug candidates have been largely externally funded.

In the full year of 2020, the total loss was CHF 44.9 million. R&D costs were primarily driven by the balixafortide trial and amounted to CHF 52.3 million, resulting in a 14% decrease compared to the CHF 60.7 million spent in 2019. The R&D expenditures are expected to decrease in 2021 following the closure of patient enrollment in late 2020. The company has received a USD 15 million upfront payment as part of the partnering agreement with Fosun Pharma. This brings the total cash position to CHF 34.3 million (cash and cash equivalents) as of December 31, 2020, which is expected to finance the operations into Q3 2021.

On June 4, 2020, Polyphor’s shareholders approved all proposals of the Board of Directors at the 23rd Annual General Meeting with a significant majority. This includes approval of the renewal of authorized share capital and the creation of conditional share capital for bonds and similar debt instruments. Based on these resolutions, Polyphor has entered into an equity-linked financing arrangement with the French company IRIS to raise a gross amount of up to CHF 19.3 million until June 2022. The equity-linked financing arrangement with IRIS allows for additional flexibility to further extend the cash outlook if needed.

Full-year 2020 results conference call at 14.00 CET on March 05, 2021

Gökhan Batur (CEO), Hernan Levett (CFO), Frank Weber (CMDO), Daniel Obrecht (CSO) and Johann Zimmermann (Head of Oncology Research) will provide a business and financial update, followed by a Q&A session.

Dial-in number: (CH) 
+41 44 580 6522
  (UK) 
+44 20 3009 2470
  (USA) +1 877 423 0830
Conference-ID: PIN: 86382921#

To follow the presentation, please use the below webcast link (no audio signal):
https://www.webcast-eqs.com/polyphor20210305/no-audio

Please use the following link for the audio webcast with replay function (audio and slides):
https://www.webcast-eqs.com/polyphor20210305

Financial Highlights

CHF million

Profit and Loss

1
 		2020   2019  
Revenue 14.3   –  
Research and development expenses -52.3   -60.7  
Net loss -44.9   -64.7  
Average net cash burn2 3.5   4.6  

Balance Sheet

2020

 

2019

 
Cash on hand 34.3   77.4  
Total assets 46.8   92.8  
Total equity 13.5   55.0  
Equity ratio 29%   59%  

1) based on the consolidated IFRS financial statements
2) represents the average monthly cash used in operating and investing activities

The annual report 2020 is available for download on our website: https://www.polyphor.com/investor-relations/reporting/

Next Event

22 March 2021 – Annual General Meeting, Information call
06 April 2021 – Annual General Meeting


For further information please contact:


For Investors:

Hernan Levett
Chief Financial Officer
Polyphor Ltd.
+41 61 567 16 00
[email protected]		 Mary-Ann Chang
LifeSci Advisors
Tel: +44 7483 284 853
[email protected]


For Media:

Bernhard Schmid
LifeSci Advisors
+41 44 447 12 21
[email protected]

About Polyphor

Polyphor is a research driven clinical-stage, Swiss biopharmaceutical company committed to discovering and developing best-in-class molecules in oncology and antimicrobial resistance leveraging the company’s leading macrocyclic peptide technology platform. Polyphor is advancing balixafortide (POL6326) in a Phase III trial in combination with eribulin in patients with advanced breast cancer and exploring its potential in other cancer indications. In addition, it has discovered and is developing the Outer Membrane Protein Targeting Antibiotics (OMPTA). OMPTA are potentially the first new class of antibiotics in clinical development in the last 50 years against Gram-negative bacteria. The company’s lead OMPTA program is an inhaled formulation of murepavadin for the treatment of Pseudomonas aeruginosa infections in patients with cystic fibrosis. Polyphor is based in Allschwil near Basel and is listed on the SIX Swiss Exchange (SIX: POLN). For more information, please visit www.polyphor.com.

Disclaimer

This press release contains forward-looking statements which are based on current assumptions and forecasts of the Polyphor management. Known and unknown risks, uncertainties, and other factors could lead to material differences between the forward-looking statements made here and the actual development, in particular Polyphor’s results, financial situation, and performance. Readers are cautioned not to put undue reliance on forward-looking statements, which speak only of the date of this communication. Polyphor disclaims any intention or obligation to update and revise any forward-looking statements, whether as a result of new information, future events or otherwise.



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Mexico’s GigNet selects Tejas Networks for its Metro Optical network in Cancun

PR Newswire

BENGALURU, India, March 5, 2021 /PRNewswire/ — Tejas Networks (BSE: 540595) (NSE: TEJASNET) today announced that GigNet, a leading digital infrastructure company in Mexico, has selected the company’s optical networking and broadband access products for their state-of-the-art, high-capacity fiber optic network expansion in the Cancun region of Mexico.

Tejas_Networks_Logo

GigNet is a premier digital infrastructure company with comprehensive digital services portfolio of Internet, Wi-Fi, fiber-to-the-home, and other advanced solutions for hospitality and enterprise customers in Mexico. To support the rapid growth of GigNet’s “Smart Communities” business segment for planned developments across the region, Tejas Networks will supply its full range of last-mile access products based on GPON/NG-PON fiber broadband technology, ultra-converged packet aggregation products based on MPLS-TP/PTN technology, and terabit-scale optical backbone products based on OTN/DWDM technology, all centrally managed by a universal SDN-ready network management system (NMS).

Paul A. Moore, Chairman & CEO of GigNet said, “GigNet prides itself for being the broadband provider of choice for sophisticated business customers and developers in Mexico demanding the strictest reliability, quality and service-level guarantees. GigNet has ambitious plans in Cancun and Riviera Maya as the leader in the digital transformation for enterprises, residential developers and service providers seeking high-speed connectivity and access to services such as streaming, cloud services, social media, biometric security, and data analytics.  We selected Tejas for their innovative, software-defined hardware™ architecture that enables extreme service agility and seamless feature upgrades to new technologies, to help us maintain our competitive advantage. They have also demonstrated outstanding technical support capabilities locally in Mexico and have been very responsive to our rapidly accelerating customer installations.”

Mr. Sanjay Nayak, Managing Director and CEO of Tejas Networks said, “We are delighted to partner with GigNet as they increase their robust, flexible and scalable network to profitably deliver premium, SLA-driven services to their customers, using our innovative products. We are excited that they have selected our end-to-end optical and access products, for this prestigious network in Mexico.”

For more information, visit Tejas Networks at http://www.tejasnetworks.com

About GigNet, Inc.

GigNet is the Mexican Caribbean brand of GigNet, Inc., a U.S. based international Digital Infrastructure company. Through its Mexico operating subsidiaries, GigNet, S.A. de C.V., and Sanalto Redes Peninsular, S.A.P.I. de C.V., the Company is a fully licensed telecommunications provider in Mexico.

For more information, visit www.GigNet.mx or www.GigNetInc.com or contact

Mr. Santosh Kesavan
[email protected]
Phone: +91 80 41794600

Diane Shearin

[email protected]

Phone: +1.847.739.3110

 

Cision View original content:http://www.prnewswire.com/news-releases/mexicos-gignet-selects-tejas-networks-for-its-metro-optical-network-in-cancun-301241258.html

SOURCE Tejas Networks Limited

Posted on

Dr. Henry Ji to Participate in the H.C. Wainwright Virtual GLOBAL LIFE SCIENCES CONFERENCE 2021 Investor Conference

SAN DIEGO, March 04, 2021 (GLOBE NEWSWIRE) — Sorrento Therapeutics, Inc. (Nasdaq: SRNE, “Sorrento”), announced today that Dr. Henry Ji, Chairman and CEO, will participate in the following upcoming conference:

H.C.
WAINWRIGHT
Global Life Sciences
2021
(Virtual
Conference)

Sorrento’s Corporate Presentation will be available on-demand for 90 days starting on Tuesday, March 9, 2021 at 7:00 AM (Eastern Standard Time) at the following link:
https://journey.ct.events/view/59a9d08e-a747-4170-a89e-fb9199cdf325

An updated corporate presentation will also be available at www.sorrentotherapeutics.com.

About
Sorrento
Therapeutics,
Inc.

Sorrento is a clinical stage, antibody-centric, biopharmaceutical company developing new therapies to treat cancers and COVID-19. Sorrento’s multimodal, multipronged approach to fighting cancer is made possible by its extensive immuno-oncology platforms, including key assets such as fully human antibodies (“G-MAB™ library”), clinical stage immuno-cellular therapies (“CAR-T”, “DAR-T™”), antibody-drug conjugates (“ADCs”), and clinical stage oncolytic virus (“Seprehvir™”). Sorrento is also developing potential antiviral therapies and vaccines against coronaviruses, including COVIGUARD™, COVI-AMG™, COVISHIELD™, Gene-MAb™, COVI-MSC™ and COVIDROPS™; and diagnostic test solutions, including COVITRACK™, COVISTIX™ and COVITRACE™.

Sorrento’s commitment to life-enhancing therapies for patients is also demonstrated by our effort to advance a first-in-class (TRPV1 agonist) non-opioid pain management small molecule, resiniferatoxin (“RTX”), and SP-102 (10 mg, dexamethasone sodium phosphate viscous gel) (SEMDEXA™), a novel, viscous gel formulation of a widely used corticosteroid for epidural injections to treat lumbosacral radicular pain, or sciatica, and to commercialize ZTlido® (lidocaine topical system) 1.8% for the treatment of post-herpetic neuralgia. RTX has completed a Phase IB trial for intractable pain associated with cancer and a Phase 1B trial in osteoarthritis patients. SEMDEXA is in a pivotal Phase 3 trial for the treatment of lumbosacral radicular pain, or sciatica. ZTlido® was approved by the FDA on February 28, 2018.

For more information visit www.sorrentotherapeutics.com

Forward-Looking
Statements

This press release and any statements made for and during any presentation or meeting contain forward-looking statements related to Sorrento Therapeutics, Inc., under the safe harbor provisions of Section 21E of the Private Securities Litigation Reform Act of 1995 and subject to risks and uncertainties that could cause actual results to differ materially from those projected. Forward-looking statements include statements regarding risks and uncertainties that could cause our actual results to differ materially and adversely from those expressed in our forward-looking statements, include, but are not limited to: risks related to Sorrento’s and its subsidiaries’, affiliates’ and partners’ technologies and prospects and collaborations with partners, including, but not limited to risks related to conducting pre-clinical and clinical studies and seeking regulatory approval for COVISHIELD, including the timing for receipt of any such approval; conducting and receiving results of clinical trials; clinical development risks, including risks in the progress, timing, cost, and results of clinical trials and product development programs; risk of difficulties or delays in obtaining regulatory approvals; risks that clinical study results may not meet any or all endpoints of a clinical study and that any data generated from such studies may not support a regulatory submission or approval; risks that prior test, study and trial results may not be replicated in future studies and trials; risks of manufacturing and supplying drug product; risks related to leveraging the expertise of its employees, subsidiaries, affiliates and partners to assist the company in the execution of its COVID-19 therapeutic product candidates strategies; risks related to the global impact of COVID-19; and other risks that are described in Sorrento’s most recent periodic reports filed with the Securities and Exchange Commission, including Sorrento’s Annual Report on Form 10-K for the year ended December 31, 2020, and subsequent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission, including the risk factors set forth in those filings. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release and we undertake no obligation to update any forward-looking statement in this press release except as required by law.

Media
and
Investor
Relations

Contact: Alexis Nahama, DVM (SVP Corporate Development)
Telephone: 1.858.203.4120
Email: [email protected]

Sorrento® and the Sorrento logo are registered trademarks of Sorrento Therapeutics, Inc.

G-MAB™, DAR-T™, COVIGUARD™, COVI-AMG™, COVISHIELD™, Gene-MAb™, COVIDROPS™, COVI-MSC™, COVITRACE™ and COVISTIX™ are trademarks of Sorrento Therapeutics, Inc. SEMDEXA™ is a trademark of Semnur Pharmaceuticals, Inc.

ZTlido® is a registered trademark owned by Scilex Pharmaceuticals Inc. All other trademarks are the property of their respective owners.

© 2021 Sorrento Therapeutics, Inc. All Rights Reserved. 



Posted on

Hyloris’ Partner AFT Pharmaceuticals Signs Licensing Agreement with Aguettant for Maxigesic® IV in Eight European Markets

Hyloris’
P
artner AFT Pharmaceuticals
S
igns
L
icensing
A
greement with Aguettant for Maxigesic
®
IV in
E
ight European
M
arkets

Footprint across Europe now extended to a total of 20 EU member states

Maxigesic® IV offers a non-opioid alternative in post-operative pain management

Liège, Belgium –
5
March 2021 –
Hyloris Pharmaceuticals SA (Euronext Brussels: HYL), a specialty biopharma company committed to bringing innovative treatments that offer added value to underserved patient populations, today announces that its partner AFT Pharmaceuticals (“AFT”) has signed an exclusive licensing agreement with Aguettant for Maxigesic IV, a novel, dual mode-of-action non-opioid pain treatment delivered through intravenous (IV) infusion, in eight European markets.

The agreement with Aguettant means that Maxigesic IV is now licensed in 20 out of the 27 EU member states (including the major pharma markets in the EU: Germany, France, Italy, and Spain) as well as the UK.  Aguettant gains the exclusive rights to Maxigesic IV in the Nordics (Finland, Norway, Denmark, Sweden and Iceland), Spain, Portugal, and the Netherlands. AFT expects sales of Maxigesic IV in these territories to commence in early 2022.

The market for post-operative pain is growing rapidly and is forecasted to reach $553 million in 2028 across the five major markets in Europe (up from $178 million in 2019)1.
    
Stijn Van Rompay, Chief Executive Officer of Hyloris, commented: “We are very pleased that AFT has entered into a licensing agreement with Aguettant, a major player in injectable pharmaceutical specialities and a strong sales record in the hospital sector across the EU. This agreement extends Maxigesic IV’s footprint in Europe and significantly expands its addressable market. There is an increasing need for safer and more effective non-opioid pain treatments in the post-operative hospital setting and thanks to its unique, dual mode-of-action, Maxigesic IV has the potential to become a valuable pain treatment option without the side effects and risk of addiction associated with opioids.”

Maxigesic IV is a novel, dual mode-of-action, non-opioid pain treatment for use post-operatively in hospitals when patients cannot take a medicine orally. It is a unique combination of 1000mg paracetamol with 300mg ibuprofen solution for infusion, thereby reducing both pain and inflammation. Results from a randomised, placebo-controlled Phase 3 trial demonstrated that Maxigesic IV was well-tolerated and had a faster onset of action, offered higher pain relief, and provided the potential to reduce the use of opioids compared to ibuprofen IV or acetaminophen IV alone in the same doses2. Further exposure studies have demonstrated the drug’s efficacy and safety in an expanded population group over a longer treatment period3. Hyloris and AFT signed a development collaboration agreement in 2012 for Maxigesic IV and AFT has now licensed the product to partners covering more than 90 countries. Maxigesic IV is protected by several granted and pending patent applications. Under the terms of the development collaboration agreement between Hyloris and AFT, Hyloris is eligible to receive a share on any product-related revenues, such as license fees, royalties, milestone payments, received by AFT.

For more information, please contact:

Hyloris Pharmaceuticals

Marieke Vermeersch
VP Investor Relations and Corporate Communications
M: +32 (0)479 490 603
[email protected]  

Consilium Strategic Communications

Amber Fennell, Chris Welsh, Lucy Featherstone
T: +44 20 3709 5700
[email protected] 

About Hyloris Pharmaceuticals

Hyloris is a specialty biopharma company identifying and unlocking hidden potential in existing medications for the benefit of patients and the healthcare system. Hyloris applies its knowhow and technological innovations to existing pharmaceuticals and has built a broad proprietary product pipeline that has the potential to offer significant advantages over currently available alternatives. Hyloris currently has two, partnered commercial-stage products, Sotalol IV for the treatment of atrial fibrillation, and Maxigesic® IV, a non-opioid analgesic for the treatment of pain. The Company’s development strategy primarily focuses on the FDA’s 505(b)2 regulatory pathway, which is specifically designed for pharmaceuticals for which safety and efficacy of the molecule has already been established. This pathway can reduce the clinical burden required to bring a product to market, and significantly shorten the development timelines and reduce costs and risks. Hyloris is based in Liège, Belgium. For more information, visit www.hyloris.com and follow-us on LinkedIn at https://www.linkedin.com/company/hyloris-pharmaceuticals. 

Disclaimer and
f
orward-
l
ooking
s
tatements

Hyloris stands for “high yield, lower risk” and relates to the 505(b)(2) regulatory pathway for product approval on which the Issuer focuses, but in no way relates or applies to an investment in the Shares.
Certain statements in this press release are “forward-looking statements.” These forward-looking statements can be identified using forward-looking terminology, including the words “believes”, “estimates,” “anticipates”, “expects”, “intends”, “may”, “will”, “plans”, “continue”, “ongoing”, “potential”, “predict”, “project”, “target”, “seek” or “should”, and include statements the Company makes concerning the intended results of its strategy. These statements relate to future events or the Company’s future financial performance and involve known and unknown risks, uncertainties, and other factors, many of which are beyond the Company’s control, that may cause the actual results, levels of activity, performance or achievements of the Company or its industry to be materially different from those expressed or implied by any forward-looking statements. The Company undertakes no obligation to publicly update or revise forward-looking statements, except as may be required by law.

1 DelveInsight Market Research Report (2020)

2 Daniels et al, 2018, Clinical Therapeutics

3 Maxigesic IV Phase 3 exposure study. Study ID No AFT-MXIV-11. NCT04005755. Results presently unpublished



Posted on

ObsEva Announces Year End 2020 Financial Results and Business Update

-Yselty® for uterine fibroids: US New Drug Application filing planned in Q2:21; European marketing approval anticipated in Q4:21-

-Yselty® for endometriosis: Readout from Phase 3 EDELWEISS 3 study 
expected in Q4:21-

-Ebopiprant: Phase 2b dose ranging study planned to initiate in Q4:21 based on positive Phase 2a proof of concept-

-Actively pursuing new indications and partnerships to maximize value of pipeline candidates-


                       

GENEVA, Switzerland and BOSTON, MA – March 5, 2021 – ObsEva SA (NASDAQ: OBSV) (SIX: OBSN), a biopharmaceutical company developing and commercializing novel therapies to improve women’s reproductive health, today reported financial results for the year ended December 31, 2020 and provided a business update.

“2020 was a critical year for ObsEva as it marked the beginning of our transformation from a clinical stage company to one preparing for regulatory approvals and commercialization,” said Brian O’Callaghan, CEO of ObsEva. “The clinical and regulatory achievements of 2020 provide a solid foundation upon which to prepare Yselty® for market launch in uterine fibroids and further its development for endometriosis.”

“Our accomplishments also provide the impetus for advancing ebopiprant for treatment of preterm labor into a Phase 2b dose ranging study later this year,” continued Mr. O’Callaghan.  “Given the potential for expedited approval for this program, we are already beginning planning for its regulatory submission and commercialization. And though we have recently extended our cash runway into Q2 2022, we remain focused on securing further sources of long-term funding as well as suitable commercialization partners. Given the very positive outlook for ObsEva, our entire team is excited about the coming year and what the long-term future holds.”  


Anticipated Milestones

ObsEva aims to achieve the following key clinical and regulatory objectives in 2021:

  • Yselty® for uterine fibroids: NDA submission (Q2:21); MAA approval (Q4:21)

  • Yselty® for endometriosis: Phase 3 EDELWEISS 3 primary endpoint readout (Q4:21)

  • Ebopiprant for treatment of preterm labor: Phase 2b dose ranging study initiation in EU/Asia (Q4:21)


Pipeline Update


  • Yselty

    ®

    for Uterine Fibroids: 
    ObsEva is developing Yselty®, an oral GnRH receptor antagonist with the potential to treat more women thanks to its potential best-in-class efficacy, a favorable tolerability profile and unique, flexible dosing options for the treatment of uterine fibroids.  Following the European Medicine Agency’s (EMA) recent validation of the marketing authorization application (MAA), a major milestone toward making Yselty® available in the E.U., the Company will continue to work closely with the EMA to achieve marketing approval, projected in Q4:2021.  Meanwhile, the Company is also working to submit a U.S. New Drug Application (NDA), projected in Q2:2021, that will include the Week 76 post-treatment follow-up results from the Phase 3 PRIMROSE 1 (US only; n=574) and PRIMROSE 2 (Europe and US; n=535) clinical studies.      


  • Yselty

    ®

    for Endometriosis: 
    The EDELWEISS 3 trial in the EU is progressing as planned, with primary endpoint data expected in Q4:2021. The ongoing Phase 3 EDELWEISS 3 study (Europe and US) was designed to enroll approximately 450 patients with endometriosis-associated pain, with a co-primary endpoint of response on both dysmenorrhea (menstrual pain) and non-menstrual pelvic pain. The study includes a 75 mg once-daily dose without hormonal ABT, and a 200 mg once-daily dose in combination with hormonal ABT (1 mg E2 / 0.5mg NETA). Subjects who completed the initial six-month treatment period will have the option to enter a six-month treatment extension.
     

  • Ebopiprant for Treatment of Preterm Labor: 
    A key objective for 2021 will be to initiate a Phase 2b clinical study, which will build on the recently announced positive topline data from the PROLONG Phase 2a proof-of-concept study by initiating a late-stage clinical development program. Based on the unmet need, ebopiprant’s innovative mechanism of action and positive topline data regarding early clinical efficacy and safety in pregnant women with spontaneous preterm labor, and with no other known compound under development for this indication, the Company plans to discuss with European regulators a possible accelerated registration program based on a Phase 2b/3 adaptively designed trial.   


  • Nolasiban for In Vitro Fertilization: 
    ObsEva is also advancing nolasiban, an oral oxytocin receptor antagonist, to improve live birth rates in women undergoing in vitro fertilization.  


Financial Update

Cash Position: As of December 31, 2020, ObsEva had cash and cash equivalents of $31.2 million, compared with $69.4 million as of December 31, 2019. In January and February 2021, ObsEva received additional net proceeds of $55.6 million from equity issuances via its At-The-Market (ATM) program and exercises of warrants that were issued in connection with ObsEva’s underwritten equity offering completed in September 2020.  ObsEva believes its available cash and cash equivalents are sufficient to fund its planned operations (not including commercialization) into Q2:2022. The Company is actively exploring potential sources of non-dilutive or hybrid funding, including strategic partnerships and structured financing related to its further proposed development and commercialization efforts.

Net Loss: For the year ending December 31, 2020 was $83.0 million, or $1.67 per share, compared with a net loss of $108.8 million, or $2.49 per share, for the year ending December 31, 2019.  Research and development expenses were $67.5 million and general and administrative expenses were $12.2 million for the full year 2020, compared with $88.1 million and $19.1 million, respectively, for the full year 2019.  The net loss for 2020 included non-cash expenses of $6.5 million for stock-based compensation, compared with $11.9 million for 2019.   

The full year 2020 financial report will be available in the financial reports section of the Company’s website.

To access the financial reports section of the Company’s website, please click [here].
To access the full year 2020 financial report directly, please click [here].

About ObsEva

ObsEva is a biopharmaceutical company developing and commercializing novel therapies to improve women’s reproductive health and pregnancy. Through strategic in-licensing and disciplined drug development, ObsEva has established a late-stage clinical pipeline with development programs focused on treating endometriosis, uterine fibroids and preterm labor. ObsEva is listed on the Nasdaq Global Select Market and is trading under the ticker symbol “OBSV” and on the SIX Swiss Exchange where it is trading under the ticker symbol “OBSN”. For more information, please visit www.ObsEva.com.

Cautionary Note Regarding Forward-Looking Statements

Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “believe”, “expect”, “may”, “plan”, “potential”, “will”, and other similar expressions, and are based on ObsEva’s current beliefs and expectations. These forward-looking statements include expectations regarding the potential therapeutic benefits and the clinical development of ObsEva’s product candidates, the potential for new indications for  any of ObsEva’s product candidates, the timing of enrollment in and data from clinical trials, expectations regarding regulatory and development milestones, including the potential timing of regulatory submissions to the EMA and FDA, the timing of and ObsEva’s ability to obtain and maintain regulatory approvals for its product candidates, the results of interactions with regulatory authorities and the potential to raise additional funds or enter into strategic partnerships in the future. These statements involve risks and uncertainties that could cause actual results to differ materially from those reflected in such statements. Risks and uncertainties that may cause actual results to differ materially include uncertainties inherent in the conduct of clinical trials and clinical development, including the risk that the results of earlier clinical trials may not be predictive of the results of later stage clinical trials, related interactions with regulators, ObsEva’s reliance on third parties over which it may not always have full control, the impact of the novel coronavirus outbreak, and other risks and uncertainties that are described in the Risk Factors section of ObsEva’s Annual Report on Form 20-F for the year ended December 31, 2020 and other filings ObsEva makes with the SEC. These documents are available on the Investors page of ObsEva’s website at http://www.ObsEva.com. Any forward-looking statements speak only as of the date of this press release and are based on information available to ObsEva as of the date of this release, and ObsEva assumes no obligation to, and does not intend to, update any forward-looking statements, whether as a result of new information, future events or otherwise.

For further information, please contact:



CEO Office Contact:

Shauna Dillon
[email protected]
+41 22 552 1550

Investor Contact

Joyce Allaire
[email protected]
+1 (617)-435-6602

Consolidated Statements of Comprehensive Loss

Three-month period


        ended December 31,
 		Twelve-Month Period


        Ended December 31,

(in USD ’000, except share and per share data) – unaudited
       2020      

       2019      

       2020      

       2019      
Operating income other than revenue                         6 5 17 16
OPERATING EXPENSES        
Research and development expenses (14,846) (17,539) (67,536) (88,053)
General and administrative expenses  
        (2,768) 		 
        (2,751) 		 
      (12,182) 		 
      (19,058)
Total operating expenses
 


     (17,614)
 


     (20,290)
 


     (79,718)
 


(107,111)
OPERATING LOSS
 


     (17,608)
 


     (20,285)
 


     (79,701)
 


(107,095)
Finance income 356 429 648 854
Finance expense  
        (1,260) 		         
(874) 		 
        (3,879) 		          
(2,482)
NET LOSS BEFORE TAX
 


     (18,512)
 


     (20,730)
 


   (82,932)
 


   (108,723)
Income tax expense  
               (39) 		               (16)  
             (34) 		             
(67)
NET LOSS FOR THE PERIOD
 


   (18,551)
 


   (20,746)
 


 


(82,966)
 


 


(108,790)
Net loss per share        
Basic (0.32) (0.48) (1.67) (2.49)
Diluted (0.32) (0.48) (1.67) (2.49)
Weighted Average Number of Shares Outstanding 55,692,358 43,869,187 49,820,451 43,674,746
Other Comprehensive Income/(loss)        
Remeasurements on post-retirement benefit plans 982 (4,694) 982 (4,694)
TOTAL COMPREHENSIVE LOSS FOR THE PERIOD (17,569) (25,442) (81,984) (113,484)

Consolidated Balance Sheets

(in USD ’000)           December 31, December 31,
                       2020     2019
ASSETS                      
Current assets                      
Cash and cash equivalents             31,183       69,370
Other receivables             397       1,044
Prepaid expenses             5,388       4,359
Total current assets             36,968       74,773
Non-current assets                      
Right-of-use assets             1,425       2,042
Furniture, fixtures and equipment             151       245
Intangible assets             26,608       26,608
Other long-term assets             295       275
Total non-current assets             28,479       29,170
Total assets             65,447       103,943
LIABILITIES AND EQUITY                      
Current liabilities                      
Other payables and current liabilities             10,760       8,432
Accrued expenses             10,248       10,418
Current lease liabilities             696       618
Total current liabilities             21,704       19,468
Non-current liabilities                      
Non-current lease liabilities             952       1,541
Non-current borrowings             25,300       24,917
Post-employment obligations             8,218       7,946
Other long-term liabilities             919       1,116
Total non-current liabilities             35,389       35,520
Shareholders’ equity                      
Share capital             4,574       3,499
Share premium             356,822       320,955
Reserves             26,353       21,912
Accumulated losses             (379,395 )     (297,411)
Total shareholders’ equity             8,354       48,955
Total liabilities and shareholders’ equity             65,447       103,943

###

Attachment



Posted on

CGG: Announces its Q4 and Full Year 2020 Results

 CGG Announces its Q4 and Full Year 2020 Results


Q4 Solid Operational Performance


2021 Positive Net Cash Flow sustained by gradual recovery

PARIS, France – March 5, 2021 – CGG (ISIN: FR0013181864), a world leader in Geoscience, announced today its fourth quarter and full year 2020 audited results.


Commenting on these results, Sophie Zurquiyah, CGG CEO, said:

“In the particularly challenging year of 2020, which saw the collapse of the oil & gas market across the second and third quarters, we finished the year with solid fourth quarter operational performance. During 2020, we successfully completed our exit from the Acquisition business while continuing to advance our high-end Geoscience technologies for reservoir development and production. We also delivered our Multi-client surveys in the industry’s core mature sedimentary basins and released new products while reinforcing our market leadership in Equipment. Our initiatives towards energy transition are accelerating with the development and commercialization of new business offerings, along with our announced target to achieve carbon neutrality by 2050. Looking forward, as global economies continue to progressively recover and with oil price stabilizing above $50/bbl, we expect CGG’s performance to benefit from the proactive cost reduction actions and gradually strengthen in the second half of the year, delivering positive net cash flow in 2021.“

Q4 2020: Solid Operational Performance

  • IFRS figures: revenue at $217m, EBITDAs at $52m, OPINC at $(58)m
  • Segment revenue at $283m, up 42% quarter-on-quarter and down (29)% year-on-year

Geoscience: Increased software sales and sustained activity of large and dedicated imaging centers

Multi-client: Solid prefunding rate of 171% in Q4  

Equipment: Solid quarter driven by land equipment deliveries

  • Segment EBITDAs at $118m and Adjusted* Segment EBITDAs at $122m before $(4)m of non-recurring severance costs, a 43% margin
  • Segment Operating Income at $(42)m and Adjusted* Segment Operating Income at $17m before $(59)m of non-recurring charges
  • Group Net loss at $(100)m including $(61)m non-recurring charges on continuing activities and $(23)m non-recurring charges on discontinued activities
  • Group segment backlogat January 1st 2021 stands at $421m

*Adjusted indicators represent supplementary information adjusted for non-recurring charges triggered by economic downturn.

 

Full Year 2020: Financial performance hampered by Covid-19 pandemic impact

  • IFRS figures: revenue at $886m, EBITDAs at $292m, OPINC at $(173)m
  • Segment revenue at $955m, down (32)% year-on-year
  • Segment EBITDAs at $361m and Adjusted* Segment EBITDAs at $402m before $(42)m of non-recurring severance costs, a 42% margin
  • Segment Operating Income at $(164)m and Adjusted* Segment Operating Income at $48m before $(213)m of non-recurring charges
  • Group Net loss at $(438)m including $(269)m non-recurring charges on continuing activities and $(67)m non-recurring charges on discontinued activities

 

Liquidity of $385m and Net Debt (before IFRS 16) at $849m at year-end 2020

  • Q4 2020 Net Cash Flow at $(95)m including negative change in working capital of $(88)m supporting increased December sales
  • FY 2020 Net Cash Flow of $(247)m including $(89)m negative change in working capital and $(101)m non-recurring cash costs
  • Liquidity of $385m and Net debt before IFRS 16 at $849m as of December 31, 2020

CGG is in a leading position to benefit from progressive market recovery

 

With continuing acceleration of Covid-19 vaccinations world economies should continue to progressively recover from pandemic in 2021. Recent OPEC+ agreements support the rebalancing of supply and demand and Brent oil price has gradually recovered and stabilized above the $50/bbl threshold.

CGG will continue to invest in geoscience technologies that support clients’ prioritization towards reservoir development and production optimization. After a low Q1, our Geoscience activity will start recovering during the second half of the year on the back of solid demand for best-in-class subsurface imaging technologies and sustained activity with large NOCs. Our Multi-client business will reduce capex keeping its focus on expanding our unique footprint offshore Brazil and in the North Sea while reprocessing existing data libraries with our latest imaging technologies.

Our Equipment business should benefit from solid deliveries for land mega crews in Saudi Arabia in H1 and improved demand for its large portfolio of WING nodes onshore and GPR nodes offshore.

CGG continues to progressively develop its existing energy transition businesses, leveraging its core capabilities into other domains (Geothermal, Mining and SHM), expanding into areas where clients are growing (Carbon capture, utilization and storage) and hiring new talents.

 

Financial objectives: positive net cash flow in 2021


Given the context outlined above and assuming there will be no deterioration in Covid-19 pandemic and market conditions, CGGsegmentrevenue is expected to increase by low single digits year-on-year with growth in Equipment, gradual recovery in Geoscience from H2 2021 and reduced Multi-Client prefunding revenue.

Segment EBITDAs is expected to remain stable with a less favorable business mix.

Net cash flow is anticipated to be positive. The Group will continue to focus on capital discipline and cash generation. Multi-client cash capex is expected to be reduced to around $165 million with prefunding above 75% and industrial capex is expected to be stable at around $70 million. Non-recurring cash costs are expected to come down to around $(60) million.

Key Figures – Fourth Quarter 2020

Key Figures IFRS – Quarter

In million $ 		2019

Q4 		2020

Q4 		Variances %
Operating revenues 426 217 (49)%
Operating Income 74 (58) –
Equity from Investment – – –
Net cost of financial debt (33) (34) 3%
Other financial income (loss) 2 2 12%
Income taxes 20 7 (64)%
Net Income / Loss from continuing operations 63 (83) –
Net Income / Loss from discontinued operations (37) (18) 53%
Group net income / (loss) 26 (100) –
Operating Cash Flow 179 26 (85)%
Net Cash Flow 7 (95) –
Net debt 716 1,004 40%
Net debt before lease liabilities 540 849 57%
Capital employed 2,323 2,168 (7)%

Key Segment Figures – Fourth Quarter 2020

Key Segment Figures – Quarter

In million $ 		2019

Q4 		2020

Q4 		Variances %
Segment revenue 396 283 (29)%
Segment EBITDAs 206 118 (43)%
Group EBITDAs margin 52% 42% (103) bps
Segment operating income 72 (42) –
   Opinc margin 18% (15)% –
IFRS 15 adjustment 2 (16) –
IFRS operating income 74 (58) –
Operating Cash Flow 179 26 (85)%
Net Segment Cash Flow 7 (95) –
Supplementary information      
Adjusted segment EBITDAs before NRC 206 122 (41)%
EBITDAs margin 52% 43% (90) bps
Adjusted segment operating income before NRC 72 17 (77)%
   Opinc margin 18% 6% (123) bps

Key Figures – Full Year 2020

Key Figures IFRS – YTD

In million $ 		2019 2020 Variances %
Operating revenues 1,356 886 (35)%
Operating Income 244 (173) –
Equity from Investment – – –
Net cost of financial debt (132) (134) 2%
Other financial income (loss) 6 (39) –
Income taxes 9 (30) –
Net Income / Loss from continuing operations 126 (376) –
Net Income / Loss from discontinued operations (188) (63) 67%
Group net income / (loss) (61) (438) –
Operating Cash Flow 751 264 (65)%
Net Cash Flow 186 (247) –
Net debt 716 1,004 40%
Net debt before lease liabilities 540 849 57%
Capital employed 2,323 2,168 (7)%

Key Segment Figures – Full Year 2020

Key Segment Figures – YTD

In million $ 		2019 2020 Variances %
Segment revenue 1,400 955 (32)%
Segment EBITDAs 721 361 (50)%
Group EBITDAs margin 51% 38% (137) bps
Segment operating income 247 (164) –
   Opinc margin 18% -17% (349) bps
IFRS 15 adjustment (4) (8) –
IFRS operating income 244 (173) –
Operating Cash Flow 751 264 (65)%
Net Segment Cash Flow 186 (247) –
Supplementary information      
Adjusted segment EBITDAs before NRC 721 402 (44)%
Group EBITDAs margin 51% 42% (94) bps
Adjusted segment operating income before NRC 247 48 (80)%
   Opinc margin 18% 5% (130) bps

Key figures bridge: Segment to IFRS – Fourth Quarter 2020

P&L items – Q4

In million $ 		Segment figures IFRS 15 adjustment IFRS figures
Total Revenue 283 (66) 217
OPINC (42) (16) (58)
       
Cash Flow Statement items – Q4

In million $ 		Segment figures IFRS 15 adjustment IFRS figures
EBITDAs 118 (66) 52
Change in Working Capital & Provisions (88) 66 (22)
Cash Provided by Operations 26 – 26
       
Multi-Client Data Library NBV

In million $ 		Segment figures IFRS 15 adjustment IFRS figures
Opening Balance Sheet, Sept 20 345 154 499
Closing Balance Sheet, Dec 20 285 207 492

Key figures bridge: Segment to IFRS – Full Year 2020

P&L items – YTD

In million $ 		Segment figures IFRS 15 adjustment IFRS figures
Total Revenue 955 (69) 886
OPINC (164) (8) (173)
       
Cash Flow Statement items – YTD

In million $ 		Segment figures IFRS 15 adjustment IFRS figures
EBITDAs 361 (69) 292
Change in Working Capital & Provisions (89) 69 (20)
Cash Provided by Operations 264 – 264
       
Multi-Client Data Library NBV

In million $ 		Segment figures IFRS 15 adjustment IFRS figures
Opening Balance Sheet, Dec 19 376 155 531
Closing Balance Sheet, Dec 20 285 207 492

Fourth Quarter 2020 Segment Financial Results

Geology, Geophysics & Reservoir (GGR)

Geology, Geophysics & Reservoir (GGR)

In million $ 		2019

Q4 		2020

Q4 		Variances, %
Segment revenue 275 176 (36)%
Geoscience 106 75 (29)%
Multi-Client 169 101 (40)%
Prefunding 62 70 13%
After-Sales 106 31 (71)%
Segment EBITDAs 189 108 (43)%
EBITDAs Margin 69% 61% (78) bps
Segment operating income 64 (44) –
OPINC Margin 23% (25)% (479) bps
Equity from investments – – –
Capital employed (in billion $) 1.9 1.6 (10)%
Supplementary information      
Adjusted segment EBITDAs before NRC 189 111 (41)%
EBITDAs Margin 69% 63% (58) bps
Adjusted segment OPINC before NRC 64 15 (79)%
OPINC Margin 23% 8% (168) bps
Other Key Metrics      
Multi-Client cash capex ($m) (32) (41) (26)%
Multi-Client cash prefunding rate (%) 191% 171% (204) bps

GGR segment revenue was $176 million, up 18% quarter-on-quarter and down (36)% year-on-year.

  • Geoscience revenue was $75 million, down (2)% quarter-on-quarter and down (29)% year-on-year.

Despite the general slowdown of the global economy and its negative effect on oil price and clients’ E&P spending, Geoscience production was more resilient, driven by stable activity for Naitional Oil Companies and sequential increase in GeoSoftware and Geovation sales.

CGG Geoscience technology leadership continues to be recognized by major clients.

  • Multi-Client revenue was $101 million, up 38% quarter-on-quarter and down (40)% year-on-year.

Prefunding revenue of our multi-client projects was $70 million, up 78% quarter-on-quarter and up 13% year-on-year.

We had one marine streamer multi-client program offshore Brazil and several reprocessing and reimaging multi-clients surveys this quarter.Multi-client cash capex was $(41)m and prefunding rate was high at 171%.

Multi-client after-sales were at $31 million this quarter primarily driven by Brazil, down (8)% quarter-on-quarter and down (71)% year-on-year.

The segment library Net Book Value was $285 million ($492 million after IFRS 15 adjustments) at the end of 2020, split 84% offshore and 16% onshore.

GGR segment EBITDAs was $108 million, a 61% margin.

GGR Adjusted segment EBITDAs was $111 million, a 63% margin before $(4) million of severance costs.

GGR segment operating income was $(44) million.

GGR Adjusted segment operating income was $15 million, a 8% margin before $(59) million of non-recurring charges including mainly $(29)m Multi-client library impairments mainly in Africa and Ireland.

GGR capital employed was stable at $1.6 billion at the end of 2020.

Equipment

Equipment

In million $ 		2019

Q4 		2020

Q4 		Variances, %
Segment revenue 123 108 (13)%
Land 87 87 (0)%
Marine 23 13 (43)%
Downhole gauges 9 3 (68)%
     Non Oil & Gas 4 5 19%
Segment EBITDAs 23 14 (41)%
EBITDAs margin 19% 13% (60) bps
Segment operating income 16 6 (63)%
OPINC Margin 13% 5% (75) bps
        
Capital employed (in billion $) 0.5 0.6 22%
Supplementary information      
Adjusted segment EBITDAs before NRC 23 14 (40)%
EBITDAs margin 19% 13% (58) bps
Adjusted segment OPINC before NRC 16 6 (62)%
OPINC Margin 13% 6% (73) bps

Equipment segment revenue was $108 million, up 114% quarter-on-quarter and down (13)% year-on-year. External sales were $108 million.

  • Land equipment sales represented 81% of total sales, as we delivered in Q4 over 100,000 channels worldwide. Sercel also delivered WiNG land node systems in Latin America.
  • Marine equipment sales represented 12% of total sales driven by spares sections sales of Sentinel streamers to its installed customers base.
  • Downhole equipment sales were $3 million and sales from non Oil & Gas equipment were $5 million

Equipment segment EBITDAs was $14 million.

Equipment segment operating income was $6 million.

Equipment capital employed was up at $0.6 billion at the end of 2020.


Fourth Quarter 2020 Financial Results

Consolidated Income Statements

In million $ 		2019

Q4 		2020

Q4 		Variances %

Exchange rate euro/dollar
1.10
1.18
7%
Segment revenue 396 283 (29)%
GGR 275 176 (36)%
Equipment 123 108 (12)%
   Elim & Other (2) (1) 36%
Segment Gross Margin 109 46 (58)%
Segment EBITDAs 206 118 (43)%
GGR 189 111 (41)%
Equipment 23 14 (40)%
Corporate (6) (4) 38%
   Elim & Other – – –
   Severance costs – (4) –
Segment operating income 72 (42) –
GGR 64 15 (77)%
Equipment 16 6 (62)%
Corporate (7) (4) 37%
   Elim & Other – – –
   Non recurring charges – (59) –
IFRS 15 adjustment 2 (16) –
IFRS operating income 74 (58) –
Equity from investments – – –
Net cost of financial debt (33) (34) (3)%
Other financial income (loss) 2 5 –
Income taxes 20 7 (64)%
NRC (Tax & OFI) – (3) –
Net income / (loss) from continuing operations 63 (83) –
Net income / (loss) from discontinued operations (37) (18) 53%
IFRS net income / (loss) 26 (100) –
Shareholder’s net income / (loss) 25 (102) –
Basic Earnings per share in $ 0.04 (0.14) –
Basic Earnings per share in € 0.03 (0.12) –

Segment revenue was $283 million, up 42% quarter-on-quarter and down (29)% year-on-year. The respective contributions from the Group’s businesses were 27% from Geoscience, 35% from Multi-Client (62% for the GGR segment) and 38% from Equipment.

Segment EBITDAs was $118 million and Adjusted* segment EBITDAs was $122 million before $(4) million of severance costs, up 51% sequentially and down (41)% year-on-year, a 43% margin.

Segment operating income was $(42) million and Adjusted* segment operating income was $17 million before $(59) million of non-recurring charges, which included $(29)m of Multi-client library impairments.

Global economic crisis, triggered by Covid-19 pandemic, and unprecedented drop in oil price and E&P spending lead CGG to launch cost reduction actions, which resulted in new severance costs and recognize other non-recurring charges.

$(61) million of non-recurring charges were booked during the fourth quarter of 2020:

$(59) million at the operating level:

  • $(4) million of severance costs
  • $(29) million of non-cash Multi-client library impairments mainly in Africa and Ireland
  • $(10) million of asset impairment
  • $(15) million of non-cash fair value remeasurement of assets available for sale

$(3) million of non-cash remeasurement of other financial assets and liabilities

Non-recurring charges (in m$) Q4 2020
Operational costs provisions (4)
Multi-client library Impairment (29)
Asset impairment (10)
Fair value remeasurement of assets available for sale (15)
   
Other financial items (OFI) adjustements (3)
Total (61)

IFRS 15 adjustment at operating income level was $(16) million and IFRS operating income, after IFRS 15 adjustment, was $(58) million.

Cost of financial debt was $(34) million. The total amount of interest paid during the quarter was $(34) million.

Other Financial Items were $2 million including $(3) million of non-recurring charges. Taxes were at $7 million.

Net loss from continuing operations was $(83) million including $(61) million of non-recurring charges.

Discontinued operations :
Correspond to the former Contractual Data Acquisition and Non-Operated Resources segments. Main aggregates are as follows:

– Q4 revenue from discontinued operations was $17 million.

– Net loss from discontinued operations was $(18) million this quarter, including $(23)m non recurring charges related to the 2021 Plan

– Net Cash flow from discontinued operations was $(2) million before CGG 2021 Plan

Group net loss was $(100) million including $(84) million of non-recurring charges; $(61) million of non-recurring charges on continuing operations and $(23)m of non-recurring charges on discontinued operations.

After minority interests, Group net loss attributable to CGGshareholders was $(102) million/ €(86) million.

Fourth Quarter 2020 Cash Flow

Cash Flow items

In million $ 		2019

Q4 		2020

Q4 		Variances %
Segment Operating Cash Flow 179 26 (85)%
CAPEX (55) (55) –
Industrial (15) (5) 64%
R&D (8) (9) (10)%
Multi-Client (Cash) (32) (41) (26)%
Marine MC (21) (40) (88)%
Land MC (11) (1) 94%
Proceeds from disposals of assets – – –
Segment Free Cash Flow 124 (29) –
Lease repayments (16) (12) 24%
Paid Cost of debt (33) (34) (2)%
   CGG 2021 Plan (71) (18) 75%
Free cash flow from discontinued operations 3 (2) –
Net Cash flow 7 (95) –
Financing cash flow (1) 0 100%
Forex and other 9 16 75%
Net increase/(decrease) in cash 15 (79) –
Supplementary information      
Change in working capital and provisions, included in Segment Operating Cash Flow (20) (88) –
From severance cash costs – (3) –
Segment Free Cash Flow before severance cash costs 124 (26) (121)%

Total capex was $(55) million:

  • Industrial capex was $(5) million,
  • Research & Development capex was $(9) million,
  • Multi-client cash capex was $(41) million

Segment Free Cash Flow was $(29) million, including $(88) million negative change in working capital and $(3)m of non-recurring severance cash costs.

After $(12) million lease repayments, $(34) million paid cost of debt, $(18) million 2021 plan cash costs and $(2) million free cash flow from discontinued operations, Net Cash Flow was $(95) million.

Full Year 2020 Financial Results

Consolidated Income Statements

In million $ 		2019 2020 Variances %

Exchange rate euro/dollar
1.12
1.14
1%
Segment revenue 1,400 955 (32)%
GGR 960 668 (30)%
Equipment 452 291 (36)%
   Elim & Other (11) (4) 69%
Segment Gross Margin 393 169 (57)%
Segment EBITDAs 721 361 (50)%
GGR 652 401 (39)%
Equipment 97 23 (77)%
Corporate (28) (21) 23%
   Elim & Other – – 100%
   Severance costs – (42) –
Segment operating income 247 (164) –
GGR 211 81 (62)%
Equipment 67 (9) (114)%
Corporate (30) (23) 22%
   Elim & Other – – –
Non-recurring charges – (213) –
IFRS 15 adjustment (4) (8) (123)%
IFRS operating income 244 (173) (171)%
Equity from investments – – –
Net cost of financial debt (132) (134) (2)%
Other financial income (loss) 6 8 38%
Income taxes 9 (21) –
NRC (Tax & OFI) – (56) –
Net income / (loss) from continuing operations 126 (376) –
Net income / (loss) from discontinued operations (188) (63) 67%
IFRS net income / (loss) (61) (438) –
Shareholder’s net income / (loss) (69) (442) –
Basic Earnings per share in $ (0.10) (0.62) –
Basic Earnings per share in € (0.09) (0.55) –

Segment revenue was $955 million, down (32)% compared to last year. The respective contributions from the Group’s businesses were 34% from Geoscience, 36% from Multi-Client (70% for the GGR segment) and 30% from Equipment.

GGR segment revenue was $668 million, down (30)% year-on-year

  • Geoscience revenue was $328 million, down (15)% year-on-year and more resilient mainly due to entering the year with solid backlog.
  • Multi-Client sales were $340 million, down (41)% year-on-year.

    • Prefunding revenue was $213 million, down (3)% year-on-year. Multi-Client cash capex was $(239) million, up 29% year-on-year, and cash prefunding rate was 89%.
    • After-sales were $127 million, down (64)% compared to 2019, which included large one-off transfer fees in Q3 2019.

Equipment revenue was $287 million, down (35)% year-on-year with a reduction in equipment market triggered by the Covid-19 pandemic and the drop in oil price.

Segment EBITDAs was $361 million and Adjusted segment EBITDAs was $402 million, before $(42) million of severance costs, down (44)% year-on-year, a 42% margin.

GGR adjusted EBITDA was $401 million, a 60% margin. Equipment adjusted EBITDA was $23 million, a 8% margin.

Segment operating income was $(164) million and Adjusted segment operating income, was $48 million, before $(213) million of non-recurring charges at the operating level.

Global economic crisis, triggered by Covid-19 pandemic and unprecedented drop in oil price and E&P spending lead CGG to launch cost reduction actions, which resulted in new severance costs and recognize other non-recurring charges.

$(269) million
of non-recurring charges were booked in 2020:

$(213) million at the operating level:

  • $(42) million severance cash costs related to headcount reductions worldwide
  • $(98) million non-cash impairments of the multi-client library
  • $(11) million non-cash asset impairments
  • $(37) million non-cash fair value remeasurement of GeoSoftware business available for sale
  • $(24) million non-cash goodwill impairment related to GeoConsulting business mainly focused on exploration and appraisal

$(56) million of Other Financial Assets and Deferred Tax Assets impairments:

  • $(48) million non-cash remeasurements of other financial assets and liabilities mainly related to data acquisition exit
  • $(9) million non-cash impairments of Deferred Tax Assets
Non-recurring charges (in m$) 2020
Operational costs provisions (42)
Multi-client library Impairment (98)
Asset impairment (11)
Fair value remeasurement of assets available for sale (37)
Goodwill impairment (24)
   
Other Financial Items (OFI) adjustment (48)
Deferred Tax Assets impairment (9)
Total (269)

IFRS 15 adjustment at operating income level was $(8) million and IFRS operating income, after IFRS 15 adjustment, was $(173) million.

Cost of financial debt was $(134) million. The total amount of interest paid in 2020 was $(80) million.

Other Financial Items were $(39) million, including $(48) million of non-recurring charges related to remeasurement of fair value of other financial assets and liabilities.

Taxes were at $(30) million including $(9) million non-cash impairments of Deferred Tax Assets.

Net loss from continuing operations was $(376) million including $(269) million of non-recurring charges.

Full Year 2020 Discontinued operations

Correspond to the former Contractual Data Acquisition and Non-Operated Resources segments. Main aggregates are as follows:

– Revenue from discontinued operations was $39 million.

– Net loss from discontinued operations was $(63) million, including $(67)m non recurring charges related to the 2021 Plan

– Net Cash flow from discontinued operations was $15 million before CGG 2021 Plan.

Group net loss was $(438) million including $(336) million of non-recurring charges; $(269) million of non-recurring charges on continuing operations and $(67)m of non-recurring charges on discontinued operations.

After minority interests, Group loss attributable to CGGshareholders was $(442) million/ €(389) million.

Full Year 2020 Cash Flow

Cash Flow items

(in m$) 		2019 2020 Variances %
Segment Operating Cash Flow 751 265 (65)%
CAPEX (261) (303) 17%
Industrial (43) (23) (46)%
R&D (32) (41) 26%
Multi-Client (Cash) (186) (239) 29%
Marine MC (153) (210) 38%
Land MC (33) (29) (12)%
Proceeds from disposals of assets – – –
Segment Free Cash Flow 491 (39) (108)%
Lease repayments (57) (55) (3)%
Paid Cost of debt (81) (80) –
   CGG 2021 Plan (136) (87) (36)%
Free cash flow from discontinued operations (32) 15 147%
Net Cash flow 186 (247) –
Financing cash flow (0) (5) –
Forex and other (9) 27 –
Net increase/(decrease) in cash 176 (225) –
Supplementary information      
Change in working capital and provisions, included in Segment Operating Cash Flow 58 (89) –
From severance cash costs – (14) –
Segment Free Cash Flow before severance cash costs 491 (25) (105)%

Capex was $(303) million, up 17% year-on-year:

  • Industrial capex was $(23) million, down (46)% year-on-year,
  • Research & Development capex was $(41) million, up 26% year-on-year,
  • Multi-client cash capex was $(239) million, up 29% year-on-year.

Segment Free Cash Flow was at $(39) million, including negative change in working capital of $(89) million and $(14) million of severance cash costs.

After lease repayments of $(55) million, payment of interest expenses of $(80) million, CGG 2021 Plan cash costs of $(87) million and positive free cash flow from discontinued operations of $15 million, GroupNet Cash Flow was $(247) million.
  

Balance Sheet 

Group’s liquidity amounted to $385 million at the end of December 31, 2020.

Group
gross debt
before IFRS
16 was $1,234 million at the end of December 31, 2020 and net debt was $849 million.

Group
gross debt
after IFRS
16 was $1,389 million at the end of December 31, 2020 and net debt was $1,004 million.

Segment leverage ratio of Net debt to Segment Ebitdas was 2.8x at the end of December 2020.

Q4 & Full Year 2020 Conference call

An English language analysts’ conference call is scheduled today at 8:00 am (Paris time) – 7:00 am (London time)

To follow this conference, please access the live webcast:

From your computer at:
www.cgg.com

 

A replay of the conference will be available via webcast on the CGG website at: www.cgg.com.

For analysts, please dial the following numbers 5 to 10 minutes prior to the scheduled start time:

France call-in: +33 (0) 1 70 70 07 81
UK call-in: +44(0) 844 4819 752
Access Code: 2455854

About CGG

CGG (www.cgg.com) is a global geoscience technology leader. Employing around 3,700 people worldwide, CGG provides a comprehensive range of data, products, services and solutions that support our clients to more efficiently and responsibly solve complex natural resource, environmental and infrastructure challenges. CGG is listed on the Euronext Paris SA (ISIN: 0013181864).

____________________

Contacts

Group Communications & Investor Relations

Christophe Barnini
Tel: + 33 1 64 47 38 11
E-Mail: [email protected]

 

CONSOLIDATED FINANCIAL STATEMENTS

December 31, 2020

Consolidated statement of operations

In millions of US$   Year
  2020 2019
Operating revenues   886.0 1,355.9
Other income from ordinary activities   0.7 0.7
Total income from ordinary activities   886.7 1,356.6
Cost of operations   (725.9) (967.0)
Gross profit   160.8 389.6
Research and development expenses – net   (18.6) (23.6)
Marketing and selling expenses   (32.5) (47.0)
General and administrative expenses   (67.9) (66.2)
Other revenues (expenses) – net   (214.5) (9.3)
Operating income   (172.7) 243.5
Cost of financial debt – gross   (136.3) (135.2)
Income from cash and cash equivalents   2.2 3.5
Cost of financial debt – net   (134.1) (131.7)
Other financial income (loss)   (39.4) 5.6
Income (loss) before income taxes and share of income (loss) from companies accounted for under the equity method   (346.2) 117.4
Income taxes   (29.5) 8.9
Net income (loss) before share of net income (loss) from companies accounted for under the equity method   (375.7) 126.3
Net income (loss) from companies accounted for under the equity method   0.1 (0.1)
Net income (loss) from continuing operations   (375.6) 126.2
Net income (loss) from discontinued operations   (62.5) (187.7)
Consolidated net income (loss)   (438.1) (61.5)
Attributable to:      
Owners of CGG $ (441.8) (69.1)
Non-controlling interests $ 3.7 7.6
Weighted average number of shares outstanding   710,739,746 709,950,455
Weighted average number of shares outstanding adjusted for dilutive potential ordinary shares   710,739,746 711,922,761
Net income (loss) per share      
– Base $ (0.62) (0.10)
– Diluted $ (0.62) (0.10)
Net income (loss) from continuing operations per share      
– Base $ (0.53) 0.17
– Diluted $ (0.53) 0.17
Net income (loss) from discontinued operations per share      
– Base $ (0.09) (0.26)
– Diluted $ (0.09) (0.26)
 

Consolidated statement of financial position

In millions of US$   12.31.2020 12.31.2019
ASSETS      
Cash and cash equivalents   385.4 610.5
Trade accounts and notes receivable, net   325.0 436.0
Inventories and work-in-progress, net   237.8 200.1
Income tax assets   84.6 84.9
Other current financial assets, net   13.7 –
Other current assets, net   92.0 116.7
Assets held for sale, net   117.7 316.6
Total current assets   1,256.2 1,764.8
Deferred tax assets   10.3 19.7
Investments and other financial assets, net   13.6 27.4
Investments in companies accounted for under the equity method   3.6 3.0
Property plant & equipment, net   268.1 300.0
Intangible assets, net   639.2 690.8
Goodwill, net   1,186.5 1,206.9
Total non-current assets   2,121.3 2,247.8
TOTAL ASSETS   3,377.5 4,012.6
LIABILITIES AND EQUITY      
Bank overdrafts   0.2 –
Financial debt – current portion   58.6 59.4
Trade accounts and notes payable   96.7 117.4
Accrued payroll costs   106.6 156.6
Income taxes payable   56.8 59.3
Advance billings to customers   19.5 36.9
Provisions – current portion   52.7 50.0
Other current financial liabilities   34.4 –
Other current liabilities   278.6 327.3
Liabilities associated with non-current assets held for sale   13.0 259.2
Total current liabilities   717.1 1,066.1
Deferred tax liabilities   16.3 10.4
Provisions – non-current portion   51.8 58.1
Financial debt – non-current portion   1,330.3 1,266.6
Other non-current financial liabilities   53.0 –
Other non-current liabilities   44.4 4.0
Total non-current liabilities   1,495.8 1,339.1
Common stock (a)   8.7 8.7
Additional paid-in capital   1,687.1 3,184.7
Retained earnings   (480.6) (1,531.1)
Other Reserves   (37.3) (23.5)
Treasury shares   (20.1) (20.1)
Cumulative income and expense recognized directly in equity   (0.7) (0.7)
Cumulative translation adjustments   (37.4) (56.3)
Equity attributable to owners of CGG SA   1,119.7 1,561.7
Non-controlling interests   44.9 45.7
Total Equity   1,164.6 1,607.4
TOTAL LIABILITIES AND EQUITY   3,377.5 4,012.6
(a) Common stock: 1,194,071,863 shares authorized and 711,392,383 shares with a nominal value of €0.01 outstanding at December 31, 2020


Consolidated statement of cash flows 

In millions of US$   Year
  2020 2019
OPERATING ACTIVITIES      
Consolidated net income (loss)   (438.1) (61.5)
Less: Net income (loss) from discontinued operations   62.5 187.7
Net income (loss) from continuing operations   (375.6) 126.2
Depreciation, amortization and impairment   193.5 138.2
Impairment and amortization of Multi-Client surveys   284.8 308.0
Impairment and amortization of Multi-Client surveys, capitalized   (18.1) (18.8)
 Variance on provisions   15.9 (10.5)
Share-based compensation expenses   4.0 5.3
Net (gain) loss on disposal of fixed and financial assets   0.5 1.0
Share of (income) loss in companies recognized under equity method   (0.1) 0.1
Dividends received from companies accounted for under the equity method   – –
Other non-cash items   39.3 (4.3)
Net cash flow including net cost of financial debt and income tax   144.2 545.2
Less: Cost of financial debt   134.1 131.7
Less: Income tax expense (gain)   29.5 (8.9)
Net cash flow excluding net cost of financial debt and income tax   307.8 668.0
Income tax paid   (7.7) (30.2)
Net cash flow before changes in working capital   300.1 637.8
Changes in working capital   (35.8) 113.6
– Change in trade accounts and notes receivable   38.4 150.0
– Change in inventories and work-in-progress   (25.9) (3.7)
– Change in other current assets   (2.8) (33.7)
– Change in trade accounts and notes payable   (1.6) 7.7
– Change in other current liabilities   (43.9) (6.7)
Net cash flow from operating activities   264.3 751.4
INVESTING ACTIVITIES      
Total capital expenditures (tangible and intangible assets) net of variation of fixed assets suppliers and excluding Multi-Client surveys)   (64.1) (75.3)
Investments in Multi-Client surveys, net cash   (239.0) (185.7)
Proceeds from disposals of tangible and intangible assets   0.5 0.1
Total net proceeds from financial assets   – 0.1
Acquisition of investments, net of cash & cash equivalents acquired   (0.4) –
Variation in loans granted   – –
Variation in subsidies for capital expenditures   – –
Variation in other non-current financial assets   13.4 (0.7)
Net cash-flow used in investing activities   (289.6) (261.5)
FINANCING ACTIVITIES      
Repayment of long-term debt   (5.2) (0.4)
Total issuance of long-term debt   – –
Lease repayments   (55.5) (56.9)
Change in short-term loans   0.1 –
Financial expenses paid   (80.2) (80.5)
Capital increase:      
– by owners of CGG   – –
– by non-controlling interests in integrated companies   – –
Dividends paid and share capital reimbursements      
– to owners of CGG   – –
– to non-controlling interests of integrated companies   (7.2) (3.8)
Acquisition/disposal of treasury shares   – –
Net cash-flow from (used in) financing activities   (148.0) (141.6)
Effect of exchange rate changes on cash   20.7 (4.3)
Impact of changes in consolidation scope      
Net cash flows incurred by discontinued operations   (72.5) (167.6)
Net increase (decrease) in cash and cash equivalents   (225.1) 176.4
Cash and cash equivalents at beginning of year   610.5 434.1
Cash and cash equivalents at end of period   385.4 610.5
 

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