Recce Pharmaceuticals Receives A$6.21 Million from Research and Development (R&D) Rebate Payments
SYDNEY, Australia, Jan. 27, 2023 (GLOBE NEWSWIRE) — Recce Pharmaceuticals Ltd (ASX: RCE, FSE: R9Q) (the Company), the Company developing a new class of synthetic anti-infectives, is pleased to announce a total research and development (R&D) cash receipt of A$6,219,241.
“The total cash amount of A$6,219,241 received from the R&D Tax Incentive Rebate and Radium’s advanced payment is most welcomed and provides the Company with an important cash injection to continue our R&D activities whilst supporting the expansion and acceleration of our ongoing and upcoming clinical programs,” said James Graham, Chief Executive Officer of Recce Pharmaceuticals.
The cash receipt is comprised of A$4,311,202 from the Australian Tax Office for the fiscal year (FY) ending June 30, 2022, and an advance payment of A$1,908,039 from Radium Capital (Radium), as a proportion of the Company’s FY23 (July 1 – November 30, 2023) R&D applicable expenditure.
The A$4,311,202 reflects the Company’s expanded pre-clinical and clinical R&D activities undertaken locally and overseas during FY22, with the funds provided to the Company in cash, caveat free.
The Australian Government’s 43.5% R&D Tax Incentive Rebate is typically reserved for Australian-based R&D only. Recce was uniquely granted the ability to capture 43.5% of the Company’s R&D applicable activities overseas as well, as previously announced and reflected in this rebate.
The advance payment of A$1,908,039 received from Radium reflects quarterly R&D expenditure during the FY23 period. The Company may utilize Radium’s services to access up to 80% of the anticipated R&D rebate accruing interest at the compounded rate of 1.25% per month.
About Recce Pharmaceuticals Ltd
Recce Pharmaceuticals Ltd (ASX: RCE, FSE: R9Q) is developing a new class of Synthetic Anti-Infectives designed to address the urgent global health problems of antibiotic-resistant superbugs and emerging viral pathogens.
Recce’s anti-infective pipeline includes three patented, broad-spectrum, synthetic polymer anti-infectives: RECCE® 327 as an intravenous and topical therapy that is being developed for the treatment of serious and potentially life-threatening infections due to Gram-positive and Gram-negative bacteria including their superbug forms; RECCE® 435 as an orally administered therapy for bacterial infections; and RECCE® 529 for viral infections. Through their multi-layered mechanisms of action, Recce’s anti-infectives have the potential to overcome the hypercellular mutation of bacteria and viruses – the challenge of all existing antibiotics to date.
The FDA has awarded RECCE® 327 Qualified Infectious Disease Product designation under the Generating Antibiotic Initiatives Now (GAIN) Act – labelling it for Fast Track Designation, plus 10 years of market exclusivity post approval. Further to this designation, RECCE® 327 has been included on The Pew Charitable Trusts Global New Antibiotics in Development Pipeline as the world’s only synthetic polymer and sepsis drug candidate in development. RECCE® 327 is not yet market approved for use in humans with further clinical testing required to fully evaluate safety and efficacy.
Recce wholly owns its automated manufacturing, which is supporting present clinical trials. Recce’s anti-infective pipeline seeks to exploit the unique capabilities of its technologies targeting synergistic, unmet medical needs.
Corporate Contact
James Graham
Recce Pharmaceuticals Ltd
+61 (02) 9256 2571
James.graham@recce.com.au
Media and Investor Relations (AU)
Andrew Geddes
CityPR
+61 (02) 9267 4511
ageddes@citypublicrelations.com.au
Media and Investor Relations (USA)
Jordyn Temperato
LifeSci Communications
jtemperato@lifescicomms.com
