AGI posts $18.2m loss, reports Rezular progress

Gastro-intestinal drugs development company AGI Therapeutics has reported a pretax loss of $18.2 million (€13.8 million) and reported progress on bringing its Rezular drug through the clinical trials process.

The company said it had completed patient enrolment into ARDIS-1, a stage three clinical trial to test the efficacy of the drug which has been designed to treat forms of irritable bowel syndrome.

In a statement AGI chief executive John Devane said the company had been engaging with possible partners with the scale and resources to complete the development of the product.

Results from the ARDIS-1 study are expected in middle of this year, which the company says will be its most significant milestone to date.

He said the company has concentrated its funds to its most advanced programmes due to the uncertainties in the markets.

Overall research and development costs were $15.9 million, down from $19.4 million in the previous year.

The company earned over $1 million in interest on cash balances built up following its initial public offering in 2006. This was more than half the 2007 interest earnings reflecting lower interest rates and a declining cash balance.

Revenues were $577,000, identical to 2007.

The loss per ordinary share was of 27 cent (2007: 30.7 cent).

Cash and short-term deposits at the end of the year were €23.6 million, compared to €45.5 million last year.

Last year AGI transferred to the dollar for its reporting currency because most of its operations are based in the US.