Epistem's loss rises, but enters Novartis deal

UK-based Epistem, a company utilizing contract research revenue to fund the development of novel therapies based on epithelial stem cell  research, has increased its loss for the six months to December 31,  2008,

The firm's net loss reached GBP500,000 ($704,300), or 7 pence loss per  share, versus a loss of GBP400,000, or 6 pence loss per share. As of  December 31, 2008, the firm had GBP1.2 million in cash and cash  equivalents, reduced by 43% from last year. Sales were up 27% to GBP1.4  million.

"Following a successful first half of this financial year, the board of  Epistem remains convinced that the group is well placed to deliver  increased shareholder value in the medium term based on its current  performance and the increased-value opportunities now emerging," said  chief executive Matthew Walls.