Full Press Release Details
Biotechnology Ltd. Provides Corporate Update and
Reports First Quarter 2018 Financial Results
Aviv, Israel May 17, 2018 - Cellect Biotechnology Ltd. (NASDAQ: "APOP"), a developer of innovative technology
which enables the functional selection of stem cells, today provided a corporate update and announced financial results for the
first quarter ended March 31, 2018.
are very pleased with our accomplishments in the first quarter of 2018," said Dr. Shai Yarkoni, Chief Executive
Officer. "During the first quarter, we announced the results of the first group of patients after a one month follow-up
in the clinical trial of Cellect's ApoGraft stem cell transplant with 100% acceptance and zero related adverse
events, we announced the opening of a second clinical trial site at Hadassah Medical Center and that we received the approval
from the Data and Safety Monitoring Board (DSMB) for dose escalation in the clinical trial. We further announced a $4 million
registered direct offering".
believe that 2018 will be a transformative year for Cellect Biotechnology as we engage in business outreach activity while accumulating
more clinical data from the Company's ongoing trial and working towards the commencement of a trial in the US.
Corporate Highlights:
Quarter 2018 Financial Results:
For the convenience of the reader, the amounts above have been translated from NIS into U.S. dollars, at the representative rate
of exchange on March 31, 2018 (U.S. $1 = NIS 3.514).
Cellect Biotechnology Ltd.
Biotechnology Ltd. (NASDAQ: APOP) has developed a breakthrough technology for the selection of stem cells from any given
tissue that aims to improve a variety of stem cell-based therapies.
Company's technology is expected to provide research, hospitals and pharma companies with the tools to rapidly isolate stem
cells in quantity and quality allowing stem cell-based treatments and procedures in a wide variety of applications in regenerative
medicine. The current clinical trial is aimed at bone marrow transplantations in cancer treatment.
press release contains forward-looking statements about the Company's expectations, beliefs and intentions.
Forward-looking statements can be identified by the use of forward-looking words such as "believe",
"expect", "intend", "plan", "may", "should", "could",
"might", "seek", "target", "will", "project",
"forecast", "continue" or "anticipate" or their negatives or variations of these words or
other comparable words or by the fact that these statements do not relate strictly to historical matters. For
example, forward-looking statements are used in this press release when we discuss our anticipated performance in 2018 and
the potential of our technology and its proposed uses. These forward-looking statements and their implications are based
on the current expectations of the management of the Company only and are subject to a number of factors and uncertainties
that could cause actual results to differ materially from those described in the forward-looking statements. In addition,
historical results or conclusions from scientific research and clinical studies do not guarantee that future results would
suggest similar conclusions or that historical results referred to herein would be interpreted similarly in light of
additional research or otherwise. The following factors, among others, could cause actual results to differ materially from
those described in the forward-looking statements: the Company's history of losses and needs for additional capital to
fund its operations and its inability to obtain additional capital on acceptable terms, or at all; the Company's
ability to continue as a going concern; uncertainties of cash flows and inability to meet working capital needs; the
Company's ability to obtain regulatory approvals; the Company's ability to obtain favorable pre-clinical
and clinical trial results; the Company's technology may not be validated and its methods may not be accepted by the
scientific community; difficulties enrolling patients in the Company's clinical trials; the ability to timely source
adequate supply of FasL; risks resulting from unforeseen side effects; the Company's ability to establish and maintain
strategic partnerships and other corporate collaborations; the scope of protection the Company is able to establish and
maintain for intellectual property rights and its ability to operate its business without infringing the intellectual
property rights of others; competitive companies, technologies and the Company's industry; unforeseen scientific
difficulties may develop with the Company's technology; and the Company's ability to retain or attract key
employees whose knowledge is essential to the development of its products.. Any forward-looking statement in this press
release speaks only as of the date of this press release. The Company undertakes no obligation to publicly update or review
any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be
required by any applicable securities laws. More detailed information about the risks and uncertainties affecting the
Company is contained under the heading "Risk Factors" in the Company's Annual Report on Form 20-F for the
fiscal year ended December 31, 2017 filed with the U.S. Securities and Exchange Commission ("SEC"), which is available on the
SEC's website, www.sec.gov, and in the Company's periodic filings with the SEC.
Leibovitz, Chief Financial Officer
Statement of Operation
| Convenience | ||||||||||||
| translation | ||||||||||||
| Three months ended | Three months ended | |||||||||||
| March 31, | March 31, | |||||||||||
| 2018 | 2018 | 2017 | ||||||||||
| Unaudited | Unaudited | |||||||||||
| U.S. dollars | NIS | |||||||||||
| Research and development expenses, net | 813 | 2,857 | 2,822 | |||||||||
| General and administrative expenses | 982 | 3,452 | 2,549 | |||||||||
| Total operating loss | 1,795 | 6,309 | 5,371 | |||||||||
| Financial expenses (income) due to warrants exercisable into ADS | (633 | ) | (2,224 | ) | 6,773 | |||||||
| Other financial expenses (income), net | (145 | ) | (510 | ) | 307 | |||||||
| Total comprehensive loss | 1,017 | 3,575 | 12,451 | |||||||||
| Loss per share and ADS: | ||||||||||||
| Basic and diluted loss per share | 0.008 | 0.028 | 0.137 | |||||||||
| Basic and diluted loss per ADS | 0.16 | 0.56 | 2.74 | |||||||||
| Weighted average number of shares outstanding used to compute basic and diluted loss per share | 126,973,049 | 126,973,049 | 91,145,370 |
| Convenience | ||||||||||||
| translation | ||||||||||||
| March 31, | March 31, | December 31, | ||||||||||
| 2018 | 2018 | 2017 | ||||||||||
| Unaudited | Unaudited | Audited | ||||||||||
| U.S. dollars | NIS | |||||||||||
| (In thousands, except share and per share data) | ||||||||||||
| ASSETS | ||||||||||||
| CURRENT ASSETS: | ||||||||||||
| Cash and cash equivalents | 7,151 | 25,128 | 13,734 | |||||||||
| Marketable securities | 2,703 | 9,499 | 13,999 | |||||||||
| Other receivables | 217 | 764 | 818 | |||||||||
| 10,071 | 35,391 | 28,551 | ||||||||||
| NON-CURRENT ASSETS: | ||||||||||||
| Restricted cash | 133 | 468 | 305 | |||||||||
| Other long-term receivables | 47 | 164 | 173 | |||||||||
| Property, plant and equipment, net | 399 | 1,401 | 1,344 | |||||||||
| 579 | 2,033 | 1,822 | ||||||||||
| 10,650 | 37,424 | 30,373 | ||||||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||
| CURRENT LIABILITIES: | ||||||||||||
| Trade payables | 412 | 1,446 | 1,703 | |||||||||
| Other payables | 503 | 1,768 | 2,396 | |||||||||
| 915 | 3,214 | 4,099 | ||||||||||
| NON-CURRENT LIABILITIES: | ||||||||||||
| Warrants to ADS | 2,003 | 7,039 | 7,422 | |||||||||
| EQUITY: | ||||||||||||
| Ordinary shares of no par value: Authorized: 500,000,000 shares at December 31, 2017 and March 31, 2018; Issued and outstanding: 120,185,659*) and 126,973,049*) shares as of December 31, 2017 and March 31, 2018, respectively. | - | - | - | |||||||||
| Additional Paid In Capital | 27,031 | 94,988 | 82,839 | |||||||||
| Share-based payments | 2,597 | 9,126 | 9,381 | |||||||||
| Treasury shares | (2,682 | ) | (9,425 | ) | (9,425 | ) | ||||||
| Accumulated deficit | (19,214 | ) | (67,518 | ) | (63,943 | ) | ||||||
| 7,732 | 27,171 | 18,852 | ||||||||||
| 10,650 | 37,424 | 30,373 |
of 2,641,693 treasury shares of the Company held by the Company.
| Convenience | ||||||||||||
| translation | ||||||||||||
| Three months ended | Three months ended | |||||||||||
| March 31, | March 31, | |||||||||||
| 2018 | 2018 | 2017 | ||||||||||
| Unaudited | Unaudited | |||||||||||
| U.S. dollars | NIS | |||||||||||
| Cash flows from operating activities: | ||||||||||||
| Total comprehensive loss | (1,017 | ) | (3,575 | ) | (12,451 | ) | ||||||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||||||
| Net financing expenses | (149 | ) | (523 | ) | 324 | |||||||
| Loss from revaluation of financial assets presented at fair value through profit and loss | - | - | 176 | |||||||||
| Depreciation | 30 | 105 | 90 | |||||||||
| Share-based payment | 355 | 1,247 | 847 | |||||||||
| Changes in fair value of traded and not traded warrants to ADS | (710 | ) | (2,496 | ) | 6,773 | |||||||
| Decrease (increase) in other receivables | 18 | 63 | (44 | ) | ||||||||
| Increase (decrease) in other payables | (259 | ) | (911 | ) | (892 | ) | ||||||
| Interest received | - | - | 9 | |||||||||
| Net cash used in operating activities | (1,732 | ) | (6,090 | ) | (5,168 | ) | ||||||
| Cash flows from investing activities: | ||||||||||||
| Short term deposits, net | - | - | 1,510 | |||||||||
| Restricted deposit | (46 | ) | (163 | ) | - | |||||||
| Marketable securities measured at fair value through profit and loss, net | 1,280 | 4,500 | 2,808 | |||||||||
| Purchase of property, plant and equipment | (40 | ) | (140 | ) | (69 | ) | ||||||
| Net cash provided by investing activities | 1,194 | 4,197 | 4,249 | |||||||||
| Cash flows from financing activities: | ||||||||||||
| Exercise of warrants and stock options into shares | 114 | 399 | 643 | |||||||||
| Issue of share capital and warrants, net of issue costs | 3,518 | 12,365 | - | |||||||||
| Net cash provided by financing activities | 3,632 | 12,764 | 643 | |||||||||
| Exchange differences on balances of cash and cash equivalents | 149 | 523 | (333 | ) | ||||||||
| Increase (decrease) in cash and cash equivalents | 3,243 | 11,394 | (609 | ) | ||||||||
| Balance of cash and cash equivalents at the beginning of the period | 3,908 | 13,734 | 6,279 | |||||||||
| Balance of cash and cash equivalents at the end of the period | 7,151 | 25,128 | 5,670 |