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- Biotechnology company Cynata Therapeutics (CYP) has received a research and development (R&D) tax incentive refund of over $1.3 million
- The tax incentive refund will allow the company to invest further resources in advancing its substantial clinical product pipeline
- Cynata’s pipeline includes trials in osteoarthritis and COVID-19, with proposed trials for renal transplantation, diabetic foot ulcers, and idiopathic pulmonary fibrosis
- The refund will also boost the company’s cash position, which was $24.9 million at the end of the December quarter
- Cynata Therapeutics is up 2.26 per cent and trading at 68 cents per share
Biotechnology company Cynata Therapeutics (CYP) has received a research and development (R&D) tax incentive refund of over $1.3 million.
The R&D tax incentive is a program of the Australian Government, which incentivises companies to conduct research and development which could benefit Australia. The program provides this encouragement to companies through a tax offset for eligible activities.
One such eligible activity is the development of Cynata Therapeutics’ Cymerus therapeutic mesenchymal stem cell (MSC) products. The company is focused on developing treatments based on its proprietary therapeutic stem cell platform technology.
This most recent $1,391,066.93 R&D tax incentive refund from the Government was for the company’s 2019/2020 financial year.
The refund will allow Cynata Therapeutics to invest further resources in advancing the company’s clinical product pipeline. The company’s robust and substantial clinical product pipeline currently includes ongoing trials, testing its Cymerus MSC products against diseases such as osteoarthritis and complications associated with the COVID-19 virus.
Cynata Therapeutics is also planning additional proposed clinical trials of Cymerus MSC products for procedures such as renal transplantation, and conditions including diabetic foot ulcers, critical limb ischemia, and idiopathic pulmonary fibrosis.
Cynata Therapeutics has already demonstrated the utility of Cymerus MSC technology in preclinical models of numerous diseases, including asthma, heart attack, sepsis, acute respiratory distress syndrome (ARDS), and cytokine release syndrome.
In addition to enabling further investment in Cynata Therapeutics’ product pipeline, the tax incentive refund from the Government will also provide a boost to the company’s cash position. At the end of the most recent December quarter, Cynata Therapeutics’ cash position stood at approximately $24.9 million.
Cynata Therapeutics is up 2.26 per cent, trading at 68 cents per share at 1:32 pm AEDT.
