Full Press Release Details
Table of Contents
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the period ended September 30, 2010
Evotec Aktiengesellschaft
(Exact name of registrant as specified in its charter)
File Number: 001-34041
Schnackenburgallee 114
(Address of Principal Executive Offices)
check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F
Indicate by check mark if the
registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T
Note: Regulation S-T
Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the
registrant is incorporated, domiciled or legally organized (the registrant s home country ), or under the rules of the home country exchange on which the registrant s securities are traded, as long as the report or other
document is not a press release, is not required to be and has not been distributed to the registrant s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby
furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
If Yes is marked, indicate below the file number
assigned to the registrant in connection with Rule 12g3-2(b): 82-
Table of Contents
| Item | Page | |||
| Other Information | 3 | |||
| Signatures | 3 | |||
| Exhibit Index | 4 |
Table of Contents
On November 11, 2010, EVOTEC AG (Frankfurt Stock Exchange: EVT, TecDAX) issued a press release announcing its financial results for the third quarter ended September 30, 2010 and released its
2010 Third Quarter Report. The press release and 2010 Third Quarter Report are furnished herewith as Exhibit 99.1 and Exhibit 99.2, respectively, and are incorporated by reference herein.
Included in the press release are adjusted results, which are considered non-GAAP financial measures. Evotec uses these measures to give
additional insight into its financial performance as a supplement to understand, manage, and evaluate its business results and make operating decisions. Adjusted results should be considered in addition to the reported results prepared in accordance
with International Financial Reporting Standards ( IFRS ), but should not be considered as a substitute. The non-GAAP financial measure used in the press release is operating income (loss). These adjusted results exclude costs related to
impairment charges and restructuring expenses. Management views these costs as not indicative of the profitability of Evotec s ongoing or future operations and therefore considers the adjusted results as a supplement to be viewed in conjunction
with the reported IFRS results.
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its
behalf by the undersigned, thereunto duly authorized.
| Evotec AG | ||
| By: | / S / C OLIN B OND | |
| Colin Bond | ||
| Chief Financial Officer |
Table of Contents
| Exhibit Number | Description | |
| 99.1 | Press Release dated November 11, 2010 Accelerated Positive Trend on Evotec s Revenues and Profits | |
| 99.2 | Evotec AG, Third Quarter Report 2010 |
Table of Contents
Evotec Research never stops
Accelerated Positive Trend on Evotec s Revenues and Profits
- 11 November 2010: Evotec AG (Frankfurt Stock Exchange: EVT, TecDAX) today reported financial results and a corporate update for the first nine months of 2010.
Table of Contents
1. Operational performance
Strong improvement of key financial results
During the first nine months of 2010 Evotec s drug discovery alliances continued to grow significantly. Supported by milestone achievements,
revenues increased by 33% to 38.8 m (2009: 29.1 m). Gross margin was strong at 44.0% (2009: 38.3%). Following the implementation of Evotec s Action Plan 2012, and successful partnering, R&D expenses declined
by 79% to 4.2 m (2009: 19.5 m), and SG&A costs by 12% to 11.6 m (2009: 13.1 m). On this basis, the operating result was positive at 1.0 m (2009: 32.9 m loss). Liquidity including cash,
cash equivalents and investments at the end of September 2010 increased from end of June 2010 to 70.2 m.
2. Discovery alliances
Several new discovery alliances initiated; progress and milestone achievements in current partnerships
Due to its scale, strong platform of technologies combined with disease biology know-how and excellent project management, as well as its strong
reputation in the industry, Evotec is ideally positioned as the partner of choice for integrated drug discovery alliances with the pharmaceutical and biotech industry. The Company signed a number of new important contracts during the third quarter
and made good progress in many of its current programmes. Within its collaboration with Boehringer Ingelheim a third milestone for 2010 was achieved in July.
New ion channel hit identification agreement with Almirall
In September, Evotec announced
a collaboration with Almirall S.A. to identify small molecule modulators of an ion channel target, selected by Almirall, involved in respiratory diseases. Evotec will apply its in-depth electrophysiology and ion channel pharmacology
expertise, as well as its state-of-the-art screening platform, for the identification and validation of novel modulators of the selected ion channel.
Fragment-based drug discovery alliance with Shionogi (after period-end)
announced a multiple target drug discovery collaboration with Shionogi & Co Ltd. to identify small molecule modulators of various protein-protein interaction targets selected by Shionogi. Evotec will apply its proprietary and
integrated fragment-based drug discovery platform, EVOlution(TM) to the programme to support Shionogi in finding novel treatments for inflammation and infectious diseases.
Pain alliance with Apeiron Biologics (after period-end)
Also in October, Evotec entered
into a collaboration with Apeiron Biologics to identify small molecule modulators of DREAM (Downstream Regulatory Element Antagonistic Modulator), a novel target involved in various pain mechanisms. In a first instance, Evotec will apply its
expertise in cellular assay development with opportunities for the project to rapidly move into hit identification and beyond. Further projects will be evaluated to potentially expand this collaboration in due course.
Milestone achievement with Boehringer Ingelheim
During the second quarter of 2010 strong progress was made in Evotec s discovery collaboration with Boehringer Ingelheim, with the first compound of this strategic alliance advancing into
clinical trials. In July, a third milestone for 2010 in the amount of 2.5 m was achieved for the progression of a candidate into pre-clinical studies. In total, Evotec has now achieved 10 milestones within this collaboration that was initiated
Table of Contents
Good progress in many discovery
alliances (e.g. Vifor, Genentech); strong capacity utilisation
During the third quarter of 2010, the Vifor collaboration was
expanded to include a back-up programme to the current one and new screening projects were initiated with five partners. The Genentech collaboration was expanded in July, and Evotec commenced work on three collaborations out of its operations
3. Status of clinical AND pRECLINICAL programmes and Partnering of assets
Proprietary research programmes advancing; product development partnerships on track; new license agreement for EVT 201 for Chinese market (after
In addition to its continuous investment in the development of proprietary platform technologies for kick-starting discovery
alliances Evotec is focused on obtaining value on a few carefully selected core assets. The Company is progressing those assets towards their optimal data points for partnering. To reduce Evotec s risk profile and limit its R&D expenses the
Company is seeking strategic product development alliances to further advance these developments such as in the case of the partnership with Roche who fully fund the further development of EVT 100 compound family. The Company s early
proprietary discovery programmes and high value development partnerships are all on track.
Start of Phase II with EVT 101 in
treatment-resistant depression with Roche
From 30 June 2010, patient recruitment has begun for the proof-of-concept Phase II study in
treatment-resistant depression with EVT 101. The study has the main objective of evaluating the safety and tolerability of EVT 101 while also exploring the efficacy of this intervention. If Roche exercises its buy-back option after completion of
this Phase II trial, Evotec would receive an immediate $65 m lump-sum payment in exchange for the assignment of the rights and would be eligible for further development and sales performance milestones of up $300 m, and scalable double-digit
commercial payments.
Jingxin Pharma in-licenses Evotec s insomnia candidate EVT 201 for development in China (after period-end)
In October, Evotec entered into a license and collaboration agreement with Zhejiang Jingxin Pharmaceutical Co., Ltd ( Jingxin
Pharma ) for EVT 201, a novel potential treatment for insomnia. The agreement grants Jingxin Pharma exclusive rights to develop and market the drug candidate in China. In return, Evotec will receive a small upfront payment, together with
commercial milestones and significant royalties.
Jingxin Pharma will initiate clinical trials with EVT 201 in China in 2011. All development
costs will be borne by Jingxin Pharma. Evotec will have the right to reference clinical data produced by Jingxin Pharma to support potential further development of EVT 201 in other territories.
This deal allows further progression of the EVT 201 insomnia programme at no additional cost to Evotec and therefore represents an important step in
realising the drug candidate s intrinsic value.
Good progress with early discovery programmes
In the first half of 2010, Evotec nominated the final development candidate, EVT 501, in its H3 receptor antagonist programme and, in the third quarter,
started API (Active Pharmaceutical Ingredient) production of the compound to support regulatory (GLP) toxicology and safety pharmacology studies. This programme is in part funded by the BMBF. The initiation of a Phase I programme is planned within
Table of Contents
The evaluation of clinical indications