Malin Corporation
plc
2024 Full Year Results and
Notice of 2025 AGM
· Estimated intrinsic equity
value per share was €10.36 at 31 December 2024 and
€10.75 at 17 February 2025
· Malin generated cash
proceeds of approximately €133 million via the divestment of its
interests in CG Oncology and Poseida
· Proposed return of capital
of up to €150 million by way of a tender offer launched
today
· Malin's AGM will be held on
13 March 2025, immediately followed by its EGM to vote on tender
offer resolutions
Dublin-Ireland, 19 February 2025: Malin Corporation plc (Euronext Growth Dublin:MLC) ("Malin",
the "Company"), a company investing in highly innovative life
sciences companies, today publishes its full year results and
annual report for the year ended 31 December 2024. Malin today
also announces that the Letter from the Chair,
Notice of Annual General Meeting ("AGM") and Form of Proxy have
been issued to shareholders.
Fiona Dunlevy, Chief Executive Officer,
said:
"2024 was a year of strong progress by Malin, during which we
successfully executed on our strategy of seeking to maximise value
from our investee companies and we continue to deliver on our
commitment to return capital to shareholders. We are delighted to
now proceed with a return of capital of up to €150 million by way
of tender offer launched today.
Having supported Poseida since first leading their Series A
round, the recent sale to Roche represented a pivotal point for
Malin in the execution of our strategy. The transaction came on the
back of significant clinical progress made by Poseida through 2024
and Malin continues to retain a valuable interest in their
technology by way of its contingent value right.
"
Estimated intrinsic equity value
·
Malin's intrinsic equity value at 31 December 2024
was estimated to be €10.36 per share, or €195.6
million and is arrived at by taking the aggregate fair value
of our investee company holdings in accordance with the
International Private Equity and Venture Capital Valuation ("IPEV")
Guidelines and adjusting this value for Malin's corporate cash
balance. For the purpose of that calculation, the fair value of
Poseida at 31 December 2024 was based on the company's closing
share price on that date.
·
Malin's estimated intrinsic equity value at 17
February 2025 has increased to €10.75 per share, or €202.9
million as a result of the aggregate impact of an increase in
its cash balance following the receipt of the Poseida sale proceeds
and the fair value estimate of Malin's contingent value right
("CVR") linked to this transaction.
Fair value of investee companies
·
The aggregate fair value of Malin's interests in
its investee companies was €133.5 million at 31 December
2024 compared to €94.4 million at 31 December 2023. The increase in
the aggregate fair value during 2024 is largely due to the increase
in the Poseida share price during the year, partially off-set by
reductions in the fair value estimates of Malin's interests in
Viamet, Kymab and Xenex and the divestment of Malin's interest in
CG Oncology.
·
The aggregate fair value of Malin's interests in
its investee companies reduced to €36.9 million as at 17
February 2025 as a result of the divestment of its shareholding in
Poseida in the period. Malin has estimated the fair value of its
CVR linked to the Poseida sale to be approximately €13 million at
17 February 2025.
Cash Position
·
Malin's corporate cash balance at 31 December 2024
was approximately €62.1 million compared to €29.3 million at
31 December 2023.
·
The increase in Malin's cash balance over this
period is primarily as a result of the disposal of CG Oncology in
July 2024, generating proceeds of approximately €28.5 million, and
the receipt of a milestone-related payment of €6.5 million related
to the 2021 sale of Kymab to Sanofi.
·
Malin's cash balance at 17
February 2025 was approximately €166.0 million, having increased
since 31 December 2024 as a result of the receipt of proceeds of
€104.2 million from the disposal of Poseida in January
2025.
·
As announced separately today, Malin is pleased to
launch a return of capital of up to approximately €150 million by
way of tender offer. Full details of the tender offer are available
on the company's website www.malinplc.com.
Investee Company Highlights
Poseida
·
On 8 January 2025, Poseida was acquired by Roche
at a price of $9.00 per share in cash at closing, plus a CVR to
receive certain contingent payments of up to an aggregate of $4.00
per share in cash upon the achievement of specific future
milestones. Malin owned approximately 12% of Poseida and received
approximately $106.5 million of upfront consideration in January
2025, with the potential to receive up to a further $47.3 million
through its CVR on the achievement of specific milestones. Malin
has estimated the fair value of its CVR to be approximately €13
million at 17 February 2025.
·
Roche's acquisition of Poseida follows a year of
important progress by Poseida across its clinical and pre-clinical
cell therapy pipeline during 2024. In September 2024, Poseida
presented clinical data from its Phase 1 trial of its lead
programme P-BCMA-ALLO1 in patients with relapsed/refractory
multiple myeloma demonstrating an impressive overall response rate
and compelling safety results in heavily pretreated patients in an
optimised lymphodepletion arm. The ongoing P-BCMA-ALLO1 Phase 1/1b
trial is enrolling patients using the optimised lymphodepletion
regimen.
·
Poseida also commenced enrolment in 2024 in a
Phase 1 trial of its P-CD19CD20-ALLO1 dual CAR-T program targeting
CD19 and CD20 for the treatment of B-cell malignancies. Both of
these programs were being developed as part of the collaboration
with Roche first announced in August 2022.
CG
Oncology
·
On the back of its significant development
progress with cretostimogene grenadenorepvec, its intravesically
delivered oncolytic immunotherapy agent, CG Oncology completed the
first biotech IPO of 2024 in January, raising $437 million at an
IPO price per share of $19.
·
In July 2024, Malin completed the divestment of
its entire interest in CG Oncology at an average price of $33.44
per share and generating aggregate cash proceeds of approximately
€28.5 million. Malin determined that the realisation of value at
the prevailing market prices represented an optimal value
inflection point for Malin. Having initially invested in CG
Oncology in September 2022, Malin generated a 175% gain on its
total capital invested of approximately €10.3 million.
Xenex
·
Through 2024, Xenex has faced challenges in
seeking to drive improvements in its sales performance while
maintaining cost efficiencies and a disciplined approach to the
deployment of capital. The challenging macroeconomic situation
facing hospitals in the US has proven a major headwind and the
company continues to explore initiatives to expand sales channels
despite these challenges. The FDA authorisation granted to Xenex's
LightStrike™ device has the potential to serve as a competitive
differentiator and as a barrier to entry for competing products but
this has not yet translated into a meaningful uplift in sales
revenue.
·
Malin believes 2025 will be a pivotal year for
Xenex as its seeks to capitalise on its unique position as
the only FDA-approved UV robot, whilst managing its capital
position to best deliver value to its long-term shareholder base,
including Malin.
Kymab
·
In February 2024, Malin received €6.5 million by
way of the first milestone-related contingent payment linked to the
2021 sale of Kymab to Sanofi.
·
At 31 December 2024, Malin estimates that the
maximum remaining consideration which Malin could receive equates
to $7 million and the fair value estimate of Malin's share of the
contingent consideration amounted to €2.2 million.
Viamet
·
In April 2022, Mycovia, the successor company to
Malin's investee company Viamet, announced the approval from the
FDA of VIVJOA™ (otesecanazole) for the treatment of Recurrent
Vulvovaginal Candidiasis ("RVVC") in females with a history of RVVC
and who are not of reproductive potential. Additional studies are
being performed for submission to the FDA, with the aim of gaining
regulatory approval to extend the targeted patient population.
However, the need to complete this additional development work has
curtailed or delayed commercial launches of the drug in the US and
other markets thereby impacting the milestones and royalties that
may have become payable to Viamet in the near-term.
·
As a result, the fair value estimate of Malin's
interest in Viamet, which is based on a discounted cashflow model,
has been reduced in the year to 31 December 2024. An unfavourable
outcome to Mycovia's efforts to extend the patient population for
VIVJOA™ could materially impact the Company's fair value estimate
of its interest in Viamet.
Annual Report
Malin's 2024 Annual Report and
further information on Malin is available to view on Malin's
website at www.malinplc.com,
under the Investors' section.
2025 AGM
The Letter from the Chair, Notice of
Annual General Meeting and Form of Proxy have been issued to
shareholders. Copies of all documents relating to the AGM are
also available on the Company's website at
www.malinplc.com.
Malin's 2025 AGM will be held in the
Conrad Dublin Hotel, Earlsfort Terrace, Dublin 2, D02 V562, Ireland
at 10:15 a.m. GMT on Thursday, 13 March 2025.
The Notice of AGM sets out the
resolutions to be proposed at the AGM and the processes by which
shareholders may vote in connection with the
AGM.
ENDS
About Malin Corporation plc
Malin (Euronext Growth Dublin:MLC)
is a company investing in highly innovative life sciences
companies. Its purpose is to create shareholder value through the
application of long-term capital and operational and strategic
expertise to a diverse range of global healthcare businesses. Malin
has a focus on innovative businesses underpinned by exceptional
science and works with its investee companies, providing strategic
and financial support to enable them to reach their value
potential. Malin is headquartered and domiciled in Ireland and
listed on the Euronext Growth Dublin. For more information
visit www.malinplc.com.
For
further information contact:
Malin
Fiona Dunlevy, CEO/ Company
Secretary
Tel: +353 (0)1 901 5700
cosec@malinplc.com
Davy Corporate Finance (Euronext Growth Listing Sponsor &
Broker)
Brian Garrahy / Daragh
O'Reilly
Tel: +353 1 679 6363
Sodali & Co (Media enquiries)
Eavan Gannon
Tel: +353 87 236 5973
eavan.gannon@sodali.com
