Pharming Q3 Income Increases

Pharming Group has reported net loss E23.1m for the third quarter which ended on September 30, 2009. Basic and diluted earnings per share decreased to E0.22 compared to E0.29 for the comparable quarter previous year.

During the quarter the company has entered into an Standby Equity distribution agreement with YA Global. Under the terms of the agreement, YA Global can invest a total of up to E20m in a three year period. Pharming has the right, but not the obligation, to call the funds in regular tranches.

In the first nine months of 2009, the company’s income increased from E0.4m to E0.5m in particular as a result of grants received based on increased costs eligible for grants and increased facilities on certain grant programs by the Dutch government.

Operational costs increased from E18.5m to E21.5m for the same period previous year. The E3m increase primarily resulted from increased costs of research and development reflecting Pharming’s submission of a Marketing Authorisation Application for Rhucin in September 2009.

Sijmen de Vries, CEO of Pharming, said: “Over the last ten months, we have managed to reduce our convertible debt, while being able to protect our shareholders interests against the threats of highly dilutive restructurings. We are very pleased with the increased holding of UBS, one of the largest financial institutions in the world. Other decreased shareholdings are mainly a result of the recent successful bond transaction. We also remain confident about the Company’s perspectives, which amongst other things includes steady progression on partnering discussions pertaining to our lead product Rhucin and with other activities aimed at strengthening our financial position.”