Silence Therapeutics losses deepen as lead drugs near trials

Biotechnology firm Silence Therapeutics shares fell on Tuesday after reporting a first half loss after tax of £8.7m, up 57%, due to costs associated with bringing its two lead programmes towards the clinic.

For the six months ended 30 June, the company’s research and development costs increased by 37% to £5.2m and general administration expenses jumped by 55% to £4.7m as its SLN124 and SLN226 treatments develop.

The former treatment is a treatment for iron deficiencies such as Beta-Thalassemia and Myelodysplastic syndrome while the latter is intended to aid abstinence in alcohol dependent patients.

David Horn Solomon, chief executive of Silence Therapeutics, said: "In the coming months, we will apply for orphan drug designation for our clinically validated lead medicine candidate, SLN124, for the treatment of Beta-Thalassemia, in order to expedite progress towards a phase Ib trial planned to begin in H2 2019."

The AIM traded company had cash and cash equivalents of £34.3m, down from £42.7m, and is targeting business development deals and exploring a range of finance options.

The company specialises in RNA interference, which is a type of treatment that suppresses genes that are thought to cause diseases.

"I am excited for the opportunity to build Silence into a leading drug development company in this cutting-edge field of technology. Since joining Silence, I have been impressed by the calibre of our scientists and developers, our growing pipeline, our innovative technology platform and the commercial opportunities that these present," said Solomon.

Silence Therapeutics’ shares were down 7.13% at 153.00p at 1245 BST.