The Company’s Half- and Full-year financial statements allocate...

The Company’s Half- and Full-year financial statements allocate income and costs separately between the Midkine and Consumer Health business segments (e.g. Note 2 of the December 2017 Half-Year Report).

These have distinguished the annual government R&D grants as income assigned completely to the Midkine segment, which consists of the two distinct companies Lyramid and Kinera.

The implication is that the relevant research that qualifies for government support is being undertaken solely within those companies, and hence the revenue limitations would be defined by Midkine income alone rather than across the Cellmid Group. This does fit in with the advantages stated when the subsidiary companies were established.