Tag: WDC

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground-breaking insurance for stem cell treatment, has today confirmed details of its upcoming Private Investor Event, to be held at 5.30pm on Wednesday 12 July 2017 at Shard Capital, 23rd floor, 20 Fenchurch St, London EC3M 3BY. With revenues now being received and set to increase, CEO João Andrade will provide investors with an update on the Group’s recent milestone developments and outline future growth plans. This will be followed by a Q&A session and refreshments. For security reasons, investors are required to bring identification to the event, as this is needed to enter the building.

To register for this event, please RSVP to ‘[email protected]’ with ‘WideCells Investor Event’ in the subject line.

The Company also announced that its Chief Financial Officer (‘CFO’) David Bridgland, who has previously been employed on a part-time basis, is now working with the Company full-time, effective 1 July 2017. With revenues now being generated from two of the Group’s divisions – namely WideCells division, which is focussed on stem cell storage and research, and CellPlan Limited, which has recently launched in the UK its core stem cell insurance product CellPlan – Mr Bridgland’s full-time appointment reflects WideCells Group’s increased operational presence. Mr. Bridgland will be attending the upcoming Investor Evening and will be available for questions.

WideCells Group Plc CEO, João Andrade, said “We are delighted that David will now be working with us on a full-time basis. As CFO David has already proven invaluable in helping us build our Company into the revenue generative provider of stem cell services it is today and his move to a full-time position reflects our increased levels of activity and growing number of revenue streams. I look forward to his greater involvement in the Company as we continue to rapidly grow our innovative business. This is undoubtedly an exciting time for our Company and both David and myself look forward to meeting shareholders at our upcoming investor event on Wednesday 12 July 2017 as we provide an overview of recent corporate developments and outline our exciting plans for the future.”

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground breaking insurance for stem cell treatment, today announced that its 100% owned subsidiary, CellPlan Limited, has launched a first-of-its-kind stem cell healthcare insurance in the UK with CellPlan now available for purchase by customers of Biovault Technical Ltd (‘Biovault’), the UK’s largest private human tissue storage facility. Additionally, the Company’s e-commerce platform, which allows the Group to sell CellPlan directly to families, will be made live during the next few weeks. This marks an inflection point for the Group, with the generation of maiden revenues from CellPlan expected imminently.

CellPlan enables individuals, who have gone through the expense of storing stem cells from umbilical cords, to cover the high-cost of stem cell treatment through an affordable insurance product, which provides cover for up to EUR1 million of medical, travel and accommodation expenses. Customers will also have access to an expert second medical opinion and a global concierge service if treatment is carried out abroad.

Biovault is a member of the elite CellPlan Excel Programme, meaning that it adheres to the Group’s stringent quality standards, and currently stores more than 25,000 cord blood samples. The insurance product will be sold to all new and existing Biovault customers. For further details on the agreement entered into between Biovault and CellPlan, please see the announcement dated 9 January 2017. Notably, effective from today, every new Biovault customer will receive CellPlan for a 12 month period, the cost of which will be covered by Biovault as part of a Biovault package to new storage customers. This campaign alone has the potential to create a solid and recurring stream of revenue for the Group during 2017 and beyond due to the historically very high rate of clients who renew after the initial 12-month term.

Biovault is also initiating a defined marketing strategy to educate the market on the key differentiators of its storage offering and the CellPlan insurance product, which the Board believes will ensure strong uptake of CellPlan amongst existing Biovault clients. Existing Biovault customers and families that have stored stem cells in facilities currently not members of the CellPlan Excel Member Programme but which meet standards adhered to by the programme (the ‘Extended Provider Network’) will be able to purchase CellPlan via the Company’s e-commerce platform in the next few weeks.

CellPlan’s agreement with Biovault can be used as a benchmark for future agreements with other cord blood storage facilities.

The average price of the CellPlan product is GBP170 per annum and under its reseller model CellPlan will generate an average of GBP50 balance from each sale, after disbursements, commissions and reinsurance costs. CellPlan will take a greater share of the margin for sales generated from the Extended Provider Network given that no commission payment will be required.
To mark and celebrate today’s launch, CellPlan will be hosting an event at its offices on Friday 14 July 2017 for local press, partners and current and potential clients. This will also be promoted digitally.

WideCells Group CEO, João Andrade, talking about Cellplan “With first sales expected imminently, this is a milestone for CellPlan and the Group as a whole. We are leveraging Biovault’s register of over 25,000 samples to generate sales of our innovatively complete stem cell insurance product and are delighted that all new customers of the UK’s leading cord blood storage facility will become customers of CellPlan. CellPlan is genuinely making stem cell treatment accessible and affordable to families that have gone through the expense of storing stem cells from umbilical cord blood and who most likely do not have the financial safety net to cover the costs to use their stem cells, therefore we believe that uptake will be equally strong amongst Biovault’s existing client base and our Extended Provider Network.

“Crucially, we expect our agreement with Biovault will provide a framework for future agreements that are in our pipeline. In line with this, we are pleased to report that we are already experiencing demand from other members of our Excel Membership Programme for our insurance product and accordingly believe we are poised to generate additional recurring revenues from CellPlan in the near future. We look forward to reporting on these sales initiatives in the near future. This is the start of our future, which we believe will see us become the leading stem cell support services company globally.”

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground-breaking insurance for stem cell treatment, will hold its Annual General Meeting (‘AGM’) today. After the AGM João Andrade, Chief Executive Officer, will provide a corporate update, highlighting the progress made since listing in all three divisions. A new corporate presentation, which will be used by Mr Andrade to present with, will be available to view on the Company’s website later today: www.widecellsgroup.com. Furthermore, the Company will be hosting a private investor evening on Wednesday 12 July 2017, further details of which are set out below.

At the AGM Mr Andrade WideCells Group PLC CEO will make the following statement:

“It is nearly a year since we first floated WideCells Group on the London Stock Exchange in July 2016. Since this time, we have made astronomical progress in building a revenue generative end-to-end stem cell support services company. Testament to this is the recognition we received from DISRUPT 100, an annual index celebrating the businesses with the most potential to influence, change or create new global markets, where WideCells Group was ranked as the 21st most disruptive company globally. This award is a great honour and I believe gives an indication of the huge impact our business is set to make on the medical world.

“The business currently has three primary divisions, being CellPlan Limited (‘CellPlan’), WideCells Group Science (‘WideCells’) and WideAcademy, with four potential revenue streams. With revenues now being received and set to increase from WideCells, from both storage and research, and the launch of our core stem cell insurance product in June 2017 creating a third, we have reached an inflection point as we enter a new and significant period of growth.

“Taking a look first at CellPlan, we founded this division having recognised a significant flaw in the stem cell industry; whilst more than 3 million people around the globe have paid c.£2,000 to store stem cells, many do not realise that the cost of treatment can be up to £300,000. Our innovative first-of-its-kind CellPlan product removes these financial barriers; for an affordable £150-£300 per annum, CellPlan provides stem cell healthcare coverage up to €1,000,000 and crucially provides families with access to expert second medical opinions and first-class treatment, with no geographical barriers.

“Whilst we have long held great confidence in the quality of our CellPlan product, the “proof of the pudding” arguably lies in uptake and sales. I am therefore delighted to report that we have had an overwhelming response from cord blood storage facilities wanting to offer CellPlan to their customers. We have managed to secure a highly strategic sales agreement with Biovault Technical Ltd (‘Biovault’), the UK’s largest private human tissue storage facility, and we have a number of additional agreements with global storage facilities in our pipeline. CellPlan is due to be available for purchase by all Biovault customers imminently, which currently includes more than 25,000 cord blood stored samples. Furthermore, following commercial launch, all new customers of Biovault will automatically be signed up to CellPlan for an initial period of 12 months.

“Complementary to our CellPlan offering is our stem cell storage and processing division WideCells Group Science (‘WideCells’). Whilst we work with a number of independent cord blood storage facilities, we are delighted to have our own storage and processing capabilities, which in turn enables us to penetrate a global market which was valued at US$2.4 billion in 2015 and is growing rapidly; 3 million cord blood samples are currently held in storage in 500 facilities across the world and this is increasing by 250,000 a year.

“In 2016, we secured a licensing agreement with an established stem cell storage and processing facility in São Paulo, Brazil, which has been in operation since 2012 and has a client base of circa 400 clients (‘WideCells Brasil’). This enables us to penetrate the Brazilian cord blood banking market, which is projected to be worth US$445 million by 2023, the largest in South America’s booming stem cell industry. This crucially provides us with established revenues. Initial stem cell collection is charged at US$1,000, which includes the first year’s storage fee, with annual storage charged at US$150 per annum thereafter. This fee is normally extended over a number of decades providing recurring revenues for the Group. Customers can also purchase a long-term storage plan (usually 5 or 10 years), providing excellent visibility on earnings.

“Following the success of this, we are set to launch the Institute of Stem Cell Technology (‘ISCT’), our second stem cell retrieval, processing and storage facility, which is located at the University of Manchester Innovation Centre in the UK. This will enable us to primarily target the European market, with additional potential for the Middle-East and Africa, thus significantly expanding our geographic reach. We look forward to providing our shareholders with updates on the official launch of the ISCT in the near future.

“Aside from storage and processing, the creation of the ISCT and the attention we have attracted for driving development within the stem cell industry has resulted in us identifying a new revenue opportunity for the Group: stem cell research. Our state-of-the-art facility in Manchester and team of leading stem cell scientists have been appointed by Qigenix, a California-based clinical stage medical device company, to undertake research on its behalf, testing a new laser technology designed to increase the homing and integration of stem cells. This will secure £100,000 for the Group, some of which we have already received, and crucially unlocks a new stream of revenue we had not initially expected at the time of our listing.

“Our third and final division is WideAcademy, which is focussed on education and training. This will, we believe, be a major component in supporting the future growth of our company and the stem cell industry as a whole. We believe there is a critical need for trustworthy, authentic and digestible content focussed on the stem cell industry, which caters to medical and industry professionals and potential consumers. Knowledge is power, and by having the necessary resources available we intend to help people make informed choices relating to stem cell technologies and treatments and ultimately promote greater understanding of the stem cell industry globally. We have an impeccable team driving this division, which includes Alan Greenberg, former Director of Education at Apple, and with development plans for roll-out currently being finalised, I look forward to the opportunities ahead.

“With a unique service offering, defined structure through which we can rapidly grow our business, a rapidly expanding global market, multiple revenue streams, and a world class team with proven skills and experience both at an industry and commercial level, we are poised for growth.

“Finally, I would like to thank our shareholders for the support they have shown our business since listing. We are committed to keeping our investors updated with developments relating to our business, and in line with this, I would like to take this opportunity to personally invite shareholders to join us at a private investor event we are hosting on Wednesday 12 July from 5.30pm at the offices of Shard Capital, 23rd Floor, 20 Fenchurch St, London, EC3M 3BY. If you would like to register for this event please RSVP to [email protected] with “WideCells Shareholder Event” in the subject line.”

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground breaking insurance for stem cell treatment, has today provided a strategic update on WideAcademy, its 100% owned education and training division. These strategic developments follow the recent Board appointment of Alan Greenberg, former Director of Education at Apple, as Non-Executive Director of WideCells Group and Senior Vice President of WideAcademy, and the recent Placing.

· Mandate: To establish WideAcademy as the thought leader on stem cell technologies and innovation for medical professionals and families. The proposition must not only be self-funded but profitable.

· Strategy: WideAcademy will secure and work with strategic partners in the tech and education sectors to produce and deliver trustworthy, authentic and digestible content and courseware focussed on the stem cell industry.

· Global Ambition: WideAcademy will harness technology to drive access to objective educational tools and content worldwide. It will firstly focus on creating resources for English-speaking communities. It plans to develop a number of channels to reach its audiences and establish WideAcademy as the go-to portal for stem cells.

· Target Markets: WideAcademy has identified three core communities which would benefit from a strengthened understanding of stem cell innovation:

o Medical professionals – most existing health professionals have not been educated in stem cell technologies. The same is often true for those currently being taught and trained who represent the next generation of medical professionals. Even where stem cell training / teaching has been undertaken, medical professionals are not educated on best-practise and have no obvious channel through which they can access news and stay up-to-date with innovation in the sector.

· Enterprise / industry – the insurance broking industry will be a critical channel in supporting the roll out of CellPlan, the Company’s innovative stem cell insurance product. This industry, together with cord blood storage facilities, could benefit from an educational resource.

· The public – these are the consumers. The more they know about stem cell innovation, the stronger the market becomes.

· Multi-channel – both digital distribution channels for the dissemination of free content and revenue generative initiatives, including courseware, are being investigated to deliver intuitive information to target markets

· Who? Joining Alan Greenberg will be Jimmy Leach, an experienced digital consultant who has previously been Head of Digital Diplomacy at the Foreign and Commonwealth Office, Editorial Director for Digital at The Independent, Head of Digital Communications at Downing Street, and executive editor at the guardian.co.uk. As Editor-in-Chief to WideAcademy, Mr Leach will be responsible for driving intuitive, informative and engaging content. WideAcademy is also in the process of making further key appointments, including a Vice President of Education, with experience in academic research, learning technology and pedagogy, and a Vice President of Enterprise, with experience in Continuing Professional Development and training in the insurance and banking industries. Further updates relating to these appointements will be made in due course.

WideAcademy Vice President, Alan Greenberg said, “WideAcademy is focused on bringing stem cell innovation to the world. Through my involvement with Apple Education and formative role in launching educational podcasts I have first-hand experience of the huge impact engaging digital content can have in driving education. Technology will be key to unlocking our proposition, which is centred on creating and distributing easily-digestible and trustworthy content, much of which will be free to access, share and ‘like’. Courseware, accreditation, and the access to distinguished networks will come at a price, enabling this proposition to become self-funding. We believe that these offerings will be valuable to both individuals wishing to enhance their knowledge and to professional institutions such as a doctor’s surgery, a teaching hospital, university or medical school department. I believe stem cell technology is set to transform our medical world and I am delighted to be a part of the WideCells team as we look to bring this innovative industry to the wider market.”

WideCells Group CEO, João Andrade, said, “WideAcademy’s focus on promoting best-practise and quality whilst driving innovation is highly synergistic to the principles held by the rest of the WideCells Group. It also fits ideally with WideCells’ mission to make stem cell treatment accessible and affordable to all. By helping people to understand this growing industry from multiple perspectives and angles, WideAcademy will help drive the uptake of products and services and in turn investment across the entire sector. It is this commitment to both innovation and education which recently resulted in us being ranked as the 21st most disruptive company globally by DISRUPT 100, which is an annual index celebrating the businesses with the most potential to influence, change or create new global markets. We look forward to continuing to disrupt and advance the rapidly growing stem cell industry through our multi-focus approach, which alongside the educational focus of WideAcademy includes stem cell storage and research and a first of its kind insurance plan, CellPlan. With multiple value upside triggers ahead, including imminent maiden revenues from CellPlan, I very much look forward to the opportunities ahead!”

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground breaking insurance for stem cell treatment, announced today its attendance at the Obstetrics and Gynaecology Conference in São Paulo, Brazil, 25-26 May 2017. At the conference, Dr Niranjan Bhattacharya, a preeminent figure in the stem cell industry and founding member of CellPlan’s Stem Cell Panel, will be making a presentation on stem cell technology and the developments both he and WideCells are driving within the industry.

Dr Bhattacharya’s expansive career in medical research focuses on cell and tissue therapy in degenerative disease and placental umbilical cord blood. He is currently the Head of the Department and Chair Professor of the Department of Regenerative Medicine and Translational Science, and is Director General of the Public Cord Blood Bank and Calcutta School of Tropical Medicine in Kolkata, India. Alongside this, he is a senior consultant in Obstetrics and Gynaecology and General Surgery in a number of premier private hospitals in Kolkata, India. Furthermore, as a founding member of the Stem Cell Panel, he is responsible for reviewing patient cases for CellPlan, the Company’s innovative stem cell insurance product, providing and managing a panel of expert doctors who provide secondary medical opinion to WideCells Group Plc / CellPlan patients, and ultimately helping to ensure that the Company’s competitive service offering and insurance policy remains fully reflective of industry developments.

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground breaking insurance for stem cell treatment, is pleased to announce that it has raised gross proceeds of £648,696 by way of a private placing (the ‘Placing’).

 

Use of Proceeds

WideCells is focused on becoming a leading provider of services which make stem cell treatment affordable and accessible to families around the world. With the Placing proceeds now raised, the Company is positioned to execute on a range of additional opportunities it has identified since listing in July 2016 to rapidly accelerate the roll out of its three stem cell services divisions, CellPlan, WideCells and WideAcademy, and further its penetration of this growing market. With this in mind, in order to streamline and enhance its operations, a portion of the funds will be used to develop a Client Relationship Management (‘CRM’) System for use across all three of its divisions. In addition to this the funds will be used as follows:

 

CellPlan

The demand for the Company’s first-of-its-kind stem cell insurance product, CellPlan, is ahead of management expectations. Therefore, the Company plans to optimise its e-commerce platform which will facilitate its geographic expansion and support the progression of numerous campaigns simultaneously. The CellPlan Excel Membership Programme, the Company’s quality assessment programme, has received applications from numerous cord blood banks in respect to offering CellPlan to their clients. The applications have been received from companies located across multiple continents which together store over 175,000 stem cell samples. In line with the Company’s focus on partnering with ‘best-in-class’ facilities, the Company is currently conducting quality assessments to evaluate the eligibility of each cord blood bank that have either signed a Letter of Intent or have submitted their CellPlan Excel Application Forms to CellPlan.

 

WideCells

The Company’s first stem cell storage facility, the Institute of Stem Cell Technology at the University of Manchester Innovation Centre (‘UMIC’), remains on track to become operational in Q2 2017. As highlighted in the announcement dated 30 November 2016, WideCells has been appointed to undertake contract research at the facility and on investigation, the Board has identified that this represents an additional strong market opportunity. Therefore the Company has applied for a research licence. With this in mind, ~£150,000 will be used to rent additional administrative office space at the UMIC and to optimise its Quality Management System in order to capitalise upon this and drive additional revenues.

 

WideAcademy

A portion of the funds raised will support the new initiatives developed by Alan Greenberg, the Former Director of Education at Apple, who recently joined the Company as Non-Executive Director and Vice President of WideAcademy. WideAcademy is focused on becoming a thought leader in stem cell technology and accordingly the Company aims to galvanise Mr. Greenberg’s excellent digital experience and network to establish itself as a high-profile resource for both healthcare professionals and families alike. It aims to achieve this goal by establishing collaborations with leading multinational technology companies and reputed educational institutions and developing a mobile App which can deliver and distribute high quality and trustworthy information about this cutting edge and innovative industry. The funds will also contribute towards the appointment of key personnel to support the implementation of these new initiatives. Previous to Alan’s appointment, the Company developed a syllabus of short courses for professionals alongside the University of Westminster. WideCells will make a further announcement on its strategy and key developments in relation to this, in due course.

 

WideCells Group CEO, João Andrade, said, WideCells is focused on becoming a leading provider of stem cell services globally, and these funds will enable us to drive a range of new initiatives which have been identified by our world-class Board since listing to expedite our market penetration and establish new revenue streams. These are additional to the opportunities which were outlined in our prospectus, which are on track to deliver cash flow in H2 2017, demonstrating the strength of the opportunity which lies within this exciting and growing market. Positively, the Board’s participation in the Placing aligns them closely with our shareholder base and incentivises them to successfully execute on these new plans.

The funds will be split across all three of our unique business divisions. CellPlan is receiving a fantastic reception and the level of interest from storage facilities is beyond our original expectations. In terms of WideCells, thanks to a contract to conduct research at our Institute of Stem Cell Technology, we are already generating revenues ahead of our original plans. Therefore, we have allocated some funds to capitalise and grow our presence in this market. Finally, Alan Greenberg has presented us with an opportunity to establish WideAcademy as a go-to digital resource for healthcare professionals and families who want to find out more about the US$100 billion stem cell industry. We plan to build an App, and collaborate with leading digital influencers who share our vision of making the cutting edge more accessible. I hope investors share in our excitement for the coming months. I look forward to providing updates regularly as we focus on creating a global company with multiple revenue streams.

 

The Placing

The Placing has raised gross proceeds of £648,696 by the issue of 5,405,806 new ordinary shares of £0.0025 each in the share capital of the Company (the ‘Placing Shares’) to new and existing shareholders and Directors of the Company, at a price of 12 pence per Placing Share (the ‘Placing Price’), conditional only on Admission (as defined below).

Applications have been made for admission of the Placing Shares to listing on the Standard segment of the Official List of the UK Listing Authority and to trading on the Main Market for listed securities of the London Stock Exchange plc (‘Admission’). Admission is expected to take place on 28 April 2017.

The Placing Shares will rank pari passu in all respects with the existing ordinary shares in the share capital of the Company (including as to the right to receive dividends (and other distributions, if any) declared, made or paid by the Company after the date of issue of the Placing Shares).

 

Directors’ participation in the Placing

 

Details of the directors’ participation in the Placing are set out below:

Director	Number of Placing Shares subscribed for	Price per Placing Share	Number of shares held following the issue of the Placing Shares	Shareholding following the issue of the Placing Shares
João Andrade	20,000.00	Placing Price	8,040,000	13.5%
David Bridgland	80,000.00	Placing Price	332,552	0.6%
Lopes Gil	15,000.00	Placing Price	8,035,000	13.5%
Graham Hine	40,000.00	Placing Price	3,238,698	5.4%
Marilyn Orcharton	15,000.00	Placing Price	150,952	0.3%

WideCells Group PLC (LON:WDC), the healthcare services company focused on providing stem cell services and ground breaking insurance for stem cell treatment, announced today its unaudited preliminary results for the period ended 31 December 2016.

Highlights

· Successful IPO on the Main Market of the London Stock Exchange following £2 million raise to build an integrated stem cell support services company
– Three distinct divisions WideCells, CellPlan and WideAcademy, focused on making stem cell treatment more accessible and affordable as well as improving research and development (‘R&D’) to further advancements in stem cell technology
· WideCells launched WideCells Brasil, its umbilical cord blood processing and storage facility in São Paulo, Brazil
– The launch follows a 2016 licencing agreement between the Company’s wholly owned stem cell storage division, WideCells, and Biocells Brasil, the owner of the Facility, which has been in operation since 2012 and has an established client base of circa 400 clients.
– Established regional management team with proven operating experience both within the stem cell industry and regionally – includes Luiz Sardinha, the former COO of Coca-Cola Brasil (10,000+ employees and BRL4.9 billion) for 35 years, who has joined WideCells Brasil’s Board as COO and has taken a 10% stake, which is testament to the strong market potential of the stem cell services industry
· Launch and rollout of innovative insurance product CellPlan, the world’s first insurance plan and medical concierge service for the cord blood stem cell industry
– Provides affordable access to cutting edge stem cell treatments, which can currently be used to treat up to 82 blood disorders
– First definitive agreement with Biovault Technical Ltd (‘Biovault’), the UK’s leading cord blood storage facility, providing access to its extensive customer base and a long-term revenue stream
– Letters of Intent (‘LOI’) signed with two further cord blood banks to support continued rollout within Europe and South America.
· New revenue stream identified following establishment of WideCells Institute of Stem Cell Technology (ISCT) at the University of Manchester Innovation Centre (‘UMIC’)
– The Group’s first UK-based stem cell processing and storage facility
– Agreement signed with innovative North American medical device company, Qigenix, to undertake contract stem cell research worth £100,000. The first payment of £25,000, which is binding under the LOI, was paid to WideCells at the end of December 2016, representing the first revenue from this source. Subsequent payments will be at the commencement of laboratory research (£25,000) and the final payment at the delivery of the final research report to the client (£50,000).
· Development of ten online short courses on stem cell technology in partnership with the University of Westminster
· World-class leadership team secured, and a number of key managerial appointments made, to drive forward a strategy to deliver ground breaking services to the stem cell industry
– The team is further strengthened by the appointment as a non-executive director of Dr Marilyn Orcharton, a qualified dentist and co-founder of Denplan, the UK’s dental payment plan specialist.
– Alan Greenberg, former Head of Apple Education for Europe and Asia, appointed to the Board as non-Executive Director and as Vice-President of WideAcademy.

 

WideCells Group PLC CEO Joao Andrade said, “Our activities during the period have ideally positioned us to start generating revenues in 2017 from all three WideCells divisions, which work together to create the world’s first end to end service solution focused on making cord blood stem cell treatment accessible and affordable globally. Having listed in London in July 2016 we have made significant progress in the commercialisation of our stem cell services; the roll out of our revolutionary stem cell insurance product CellPlan has now commenced in collaboration with the UK’s largest stem cell storage facility, Biovault; discussions with multiple other facilities are advancing rapidly; delivery of our first stem cell processing and storage facility in Manchester is on track for Q2 2017; and we have appointed the former Head of Apple Education, Alan Greenberg, as a non-Executive Director and VP of WideAcademy to devise a strategy that makes it the thought leader in the stem cell industry. The pace with which we have achieved these milestone developments underpins our active growth strategy, and alongside this we have demonstrated our ability to execute our strategy in a reliable way, and to attract world-class personnel to our company, which we see as an endorsement of our revolutionary proposition.

“I believe that our business is well placed for a value re-rate in 2017 as we bring our various work-streams over the line. We have a ready and growing market for our products and services, a first mover advantage in delivering our product and building our brand, and partnerships with best-in-class companies which ensures that our commitment to quality is achievable at all time. With this in mind, I am excited for the months ahead and look forward to providing regular updates to shareholders in the near term.”

 

Chairman’s Statement

WideCells Group was formed in 2012 with the aim to revolutionise the stem cell industry. The stem cell market is projected to be worth US$170 billion by 2020 and as medical researchers continue to find new and ever more innovative applications for stem cells, this is a field which is likely to lead the way in disease therapy in the future. However, the hidden costs associated with stem cell treatment can often come as a surprise to the increasing number of families that are choosing to store their babies’ cord blood stem cells. Therefore the Group’s vision is to make potentially life-saving cord blood stem cell treatment affordable and accessible to families around the world and in July 2016 we embarked on making this vision a reality by listing on the Main Market of the London Stock Exchange.

The eight months following our listing can be characterised as a period of significant progress and I am delighted that we have been able to report first revenues via an agreement to undertake contract research work at our Institute of Stem Cell Technology laboratory (‘ISCT’) at the University of Manchester Innovation Centre (‘UMIC’). This is only set to increase when the first phase of our CellPlan rolls out with Biovault going live before the end of May 2017. Therefore, the coming months will see us build on the revenue generative foundation we have already created to establish a globally recognised brand in the evolving and growing stem cell industry.

Our three distinct and complementary divisions provide us with several entry points into the market and add to our unique proposition: through our WideCells division, we provide the cutting-edge in stem cell processing and storage facilities across Europe and the Americas with plans for extending into new markets; CellPlan represents the world’s first stem cell insurance plan and medical concierge service which directly tackles affordability of stem cell transplantation for families across the globe; whilst, WideAcademy was established to drive research, innovation and teaching in the rapidly evolving stem cells market. This approach ultimately acts as a marketing tool, underpinning our business proposition.

CellPlan

CellPlan is completely unique and a first-of-its-kind insurance product. It removes barriers to affordability for not only cord blood stem cell transplantation but also the associated medical consultation and care. This enables families to focus on recovery rather than potentially staggering medical bills. Following its official launch to cord blood banks at the World Cord Blood Congress Europe in May 2016, we have made significant strides towards the successful rollout of CellPlan and we have received an overwhelmingly positive response from the market. We believe that the implications of delivering this sophisticated product to the market could be radical. Supporting this, a leading provider of market analysis reported that the launch would necessitate a revision in their forecasts for stem cell storage uptake, which acts as a strong endorsement of our business.

Due to our unique high potential proposition, we have attracted global partners including a world leader in expert medical opinion, and a leading underwriter. In collaboration with them we finalised the terms and conditions (‘T&Cs’) for CellPlan in October 2016, which enables us to focus on driving our customer base and brand positioning while our partners take on the risks associated with underwriting an insurance product. The finalisation of the T&Cs in October 2016 was an important milestone for the Group as it signalled the completion of our product development phase and marked the commencement of our rollout.

We have also received very positive feedback from stem cell storage facilities, which have made clear their demand for a product such as ours. The period under review saw us enter into an agreement with the UK’s largest private stem cell storage facility, Biovault. With Biovault’s reputation for excellence, this partnership with an eminent stem cell facility has given the Group an ideal platform for entry into the European and global market. The five-year agreement, which provides the Group with access to Biovault’s customer base of 25,000 clients, marked the official entrance of CellPlan into the global insurance market. We are now preparing for the commencement of first sales of CellPlan to Biovault customers by Q2 2017 and anticipate we will be in a position to report first revenues from this division in the near-term. We were delighted to announce the extension of this rollout with the signing of two further Letters of Intent (‘LOIs’) with cord blood banks in Brazil. This has given us unrivalled access to the largest market in South America’s booming stem cell industry, projected to be worth US$445 million by 2023.

We aim to build CellPlan into the world’s leading provider of cord blood and related stem cell insurance, by capitalising on our first mover advantage. Our investors should be attracted to the recurring revenue stream and, given the nature of the insurance plan, customers are very likely to remain with us for many years. We are in discussions with a range of other significant providers of stem cell storage services, and look forward to providing updates on this, and our other developments, in the coming months.

Alongside the commercial rollout of CellPlan, we continue to focus on our service offering in order to ensure we maintain a competitive business model, which satisfies market demand. Accordingly, and in line with our innovative business model, we created ‘Your Expert Consultation’; A specialist medical consultation service, which provides clients with access to the best medical minds to provide a second opinion on their diagnosis. As a stand-alone product with a low entry price point, we believe the launch of this consultation service will create an additional revenue stream for the Company and create further opportunities for growth.

Additionally, while CellPlan continues to be a flagship division, central to the success of our strategy, we have simultaneously made significant progress across all three of our core divisions.

WideCells

Through our WideCells division, we have penetrated another crucial area of the stem cell market: stem cell storage, a global market which was valued at US$2.4 billion in 2015. Our WideCells division provides us with access to this burgeoning market and is a complementary addition to our wider portfolio, providing us with fertile ground from which to expand the rollout of CellPlan in future.

The funds raised on listing were primarily required for the development of WideCells’ Institute of Stem Cell Technology (‘ISCT’) at the University of Manchester Innovation Centre. We are pleased to see that this continues to advance on schedule and is targeted for completion in Q2 2017 following the granting of a Human Tissue Authority Licence for Human Application and Research. Once operational this state-of-the-art facility will provide us with a further revenue stream and will have the capacity to offer stem cell retrieval, processing and storage services to the European market. Seeking to further cement our global presence, in September 2016, we launched WideCells Brasil following a licensing agreement with Biocells Brasil. With an established client base the launch of this facility provides us with access to a compelling market, as well as the potential to generate further revenues through the provision of additional storage and healthcare services.

Stem cell research is developing at a rapid pace and it is crucial that the industry keeps pace with these advancements. With our expert team and an adaptable business model, the Group has been able to utilise its strategic position to take advantage of new opportunities as they are identified. Ahead of its completion, the ISCT has already proved a significant advantage to our portfolio, enabling us to establish a new revenue stream through a contract research agreement with Qigenix. The agreement, announced 30 November 2016, provides the Group with an additional £100,000 in revenues for use of our state of the art laboratory. The first payment of £25,000, which is binding under the LOI, was paid to WideCells by the end of December 2016, representing our first revenues.

WideAcademy

We are clear in our belief that as uptake in cord blood and other types of stem cell storage increases, further funding will be poured into research and development, in turn leading to further advancements in stem cell technology and treatments. WideAcademy is our research, development and training division through which we will work to strengthen knowledge of the benefits of stem cell treatment to the wider medical community. We were therefore delighted to appoint Alan Greenberg as non-Executive Director and VP of WideAcademy. With his wealth of experience in healthcare and education technology (‘EdTech’), most notably as Head of Apple Education for Europe and Asia, Alan has a vision to make WideAcademy a thought leader in the stem cell technology space, which will enable us to reach wider audiences and influence the next generation of stem cell therapies. We will leverage his fantastic experience of how to disseminate information and educational resources digitally as soon as possible and look forward to updating the market with detail regarding his plans to build WideAcademy into a credible and innovative brand at the appropriate time.

We expect him to dramatically build on the successes we have already experienced in this division. In September 2016 we announced, as part of our partnership with the University of Westminster, that we had devised a syllabus for a series of online short courses targeted at healthcare professionals wanting to expand their knowledge of stem cell technology, which does not currently form part of a medical degree. The courses aim to close the knowledge gap between healthcare professionals, to keep them abreast of advancements as the industry continues to advance, and will create a new revenue stream when they launch later this year. The courses will also provide the Group with access to professionals at the cutting edge of stem cell treatment and delivery, thereby creating access to an additional market segment to be targeted by both WideCells division and CellPlan.

Corporate

As the Group continues to establish itself in the global market, we have made a number of key appointments to support our sustainable growth. These include Alan Greenberg as Non-Executive Director and Vice President of WideAcademy. I am confident that we have secured a highly skilled and experienced team with the requisite skillset to make significant contributions to the wider growth of WideCells Group and to build the Company into a leader in the stem cell support services market.

Financial Overview

We successfully raised £2m before expenses in an IPO on the Main Market of the London Stock Exchange on 27 July 2016. This has enabled us to set up our operations for WideCells and WideAcademy in Manchester and for CellPlan in Porto and we are on target to begin sales in Q2 2017.

Outlook

WideCells Group is driven by a vision to unlock the potential of stem cells and make stem cell treatment affordable, accessible and achievable for families worldwide. We have taken significant strides forward this year to achieve this and have already positioned ourselves as a potential leader in the global stem cell services industry. With an expert leadership team, which has experience across a range of recognised and highly relevant brands, a host of global partners and strong foundations for growth already in place, we are extremely excited about the months ahead. The launch of the WideCells ISCT targeted for Q2 2017 will cement our position in the UK stem cell storage market and, we anticipate, will provide us with further openings for revenue generation and partnership opportunities. We remain in ongoing discussion with global cord blood banks as we seek to continue the expansion of CellPlan’s rollout to new markets globally. Alan Greenberg joining the team allows WideAcademy to move from strength to strength as we focus on building this division to become the go-to resource for professionals and consumers wishing to learn more about stem cells. We anticipate that the year ahead will be one of growth for the Group as we further establish our brand and continue to progress our vision.

Finally, I would like to take this opportunity to thank our shareholders who provide ongoing support as we continue to grow WideCells Group and distinguish ourselves in this market. This has been instrumental to our achievements thus far and we look forward to building your Company into a leader of stem cell support services in the global market

Dr Graham Hine

Chairman