Full Year 2022 Results

Kinarus has published its Annual Report for 2022. The challenging funding environment has delayed the start of clinical studies for KIN001 in wAMD and IPF, however, the report suggests that Kinarus’ focus is returning to these indications, with hints of interest from potential investors and partners. The KINFAST trial in COVID-19 remains ongoing.

Cash at the end of FY 2022 was CHF 1.3m compared to CHF 0.1m at the end of FY 2021. This does not include the recent CHF 1.5m convertible loan from CDIM described in our previous note, which is expected to fund operations into 2024.

While there appears to be interest in KIN001 in idiopathic pulmonary fibrosis (“IPF”) and probably wet age-related macular degeneration (“wAMD") by potential investors, at least in China, Kinarus will not start clinical studies in these indications without further funding. Kinarus’ Board and management should be commended for these difficult decisions.

Kinarus’ cash balance and share count are the only changes to our fair valuation which moves from CHF96m to CHF93m, or CHF0.093 per share.