Aquaculture for all

Increase in Net Losses for AquaBounty in 2012

Salmonids Breeding & genetics Economics +3 more

US - It has been a positive year for GM Salmon company, AquaBounty. Despite its preliminary financial results for 2012 showing that net loss has increased to US$4.4 million (2011: US$2.7 million), the company saw the US Food and Drug Administration (FDA) release its Draft Environmental Assessment and Preliminary Finding of No Significant Impact for the company's AquAdvantage salmon (AAS).

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The preliminary results also showed that operating spend was lower at US$4.4 million (2011: US$5.4 million) and net cash used during the year decreased to US$3.2 million (2011: US$4.6 million).

The company also secured a bridge loan of US$500,000 from Intrexon Corporation.

Throughout 2012, AquaBounty continued to press for the approval of its New Animal Drug Application for its AAS from the FDA. In December, AquaBounty was encouraged by the release of the Environment Assessment and draft Finding of No Significant Impact by the FDA, believeing it to be a clear signal that the approval process is nearing completion

Ron Stotish, Chief Executive Officer of AquaBounty, said: “We are pleased that the Environmental Assessment of our New Animal Drug Application for AquAdvantage® Salmon was published late in 2012, thereby commencing what we believe to be the final steps towards approval by the FDA. We are encouraged that since the public meetings in September 2010, there hasn’t been a single new scientific or legal argument presented to the FDA against our application. This makes us hopeful that the strength of law, due process and science-based regulation will prevail, and approval will be granted later this year.

“AAS continues to attract interest from major companies in the aquaculture trade and this, together with the FDA panel of experts concluding that AAS is indistinguishable from other Atlantic salmon, is safe to eat and does not pose a threat to the environment under its conditions of use, reaffirms our belief that there will be a significant demand for our product. Additionally, as a result of the recent fundraising, we now have the necessary funds to begin the initial commercialisation program once approval is granted. We look forward to receiving FDA approval and bringing our product to market.”

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