Achiko AG Announces Financial Results for Six Months Ended June 30, 2020
- The outbreak of the Covid-19 pandemic towards the end of first quarter 2020 limited Achiko’s ability to execute on its business strategy
- Achiko responded by developing a Covid-19 testing and ecosystem platform Teman Sehat, and by securing a complementary testing technology codenamed “Gumnuts” to build a pandemic management ecosystem
- Initial clinical trials of Gumnuts generated positive in vitro results. Next phase is clinical validation trials while applying for approvals in the U.S. and Asia in parallel
- Increasing interest from Central America, Africa, South and South East Asia in Gumnuts
ZURICH, Switzerland, Sept. 28, 2020 (GLOBE NEWSWIRE) -- Achiko AG (SWX: ACHI, ISIN CH0522213468) announced its financial results for the six months ended June 30, 2020, and progress since then.
The first half of the year was characterized by the strategic focus on the new Covid-19 testing technology and the development of the Covid-19 ecosystem platform Teman Sehat on top of its fintech and payment service platform. The Company generated revenue of USD 2.7m and a loss of USD 5m in the first half of 2020. The loss is mainly driven by higher (i) share option expenses of USD 3.2m million due to increased number of vested shares, (ii) professional fees and (iii) salaries and wages due to the organizational build-up for the preparation of the Covid-19 ecosystem platform and test kit technology businesses. Revenue of the new businesses have not been generated in the first six months of 2020.
The Company has responded to the change in several ways beside the development of Teman Sehat and the test kit technology businesses. Achiko secured the exclusive commercialization rights to Gumnuts, a novel DNA Aptamer based solution for Covid-19 testing. The Company entered into agreements with different investors and secured financing with share subscriptions and convertible notes including (i) a subscription with PT Media Nusantara Citra Tbk of USD 2m, (ii) a convertible note with Negma Group Ltd of USD 2m and (iii) other financing measures have been committed with the Company in the process of issuing shares from the authorized share capital in which payables are partly converted into shares. Achiko has also disposed its convertible note from PT Empat Kali Indonesia in August 2020 and has received its initial investment of USD 0.1m. In addition, Achiko replaced its CEO and CFO end of July 2020 and initiated an amendment of the organization to implement the new businesses.