LIFE sciences firm Angel Biotechnology expects to seal its joint venture (JV) deal with Russia-based Materia Medica Holdings (MMH) in mid-January, the Edinburgh-based company revealed yesterday.
Shareholders will be given the chance to discuss the setting up of the JV at a meeting in the company’s newly-reopened facility at Cramlington, near Newcastle, on Hogmanay.
Nicholas Smith, who took over as chairman in October from Paul Harper, said: “Both parties have agreed to sign the final documents in mid-January.
“The team at Angel will continue with their focus on long-term strategic discussions that will rebuild the capital of the rest of the business and we shall be explaining further our strategy to this end at the forthcoming general meeting.”
Angel will own 40 per cent of the shares in the joint venture, which will be called AB Biotechnology, with Mapix – one of MMH’s companies – owning the remaining stock. The Scottish firm has said it will reduce its holding in the JV over time.
Earlier this month, Angel posted a pre-tax loss of £2.9 million for the six months to 30 September following a £2m “write-back” on the value of contracts that will be transferred to its JV with MMH.
The deficit during the opening half of the previous financial year had been just £241,000.