ZURICH, Switzerland, June 26, 2022 (GLOBE NEWSWIRE) -- Achiko AG (OTCQB: ACHKF; SIX: ACHI; ISIN CH0522213468) (“Achiko”, the “Company”) announces its financial results for the year ended December 31, 2021, and progress since then.
For the year ended December 31, 2021, the Group recorded a net loss of USD $9,231,779 resulting in an increase of the Group’s accumulated losses to USD $34,568,395. The Company also notes that Achiko AG is currently managing creditors, and that while the assets of the Group at the reporting date was negative $4.584m, it also has over $2.4m in subordinated loans.
As a result, the Company’s auditors have given an adverse opinion, noting the Company’s ability to remain a going concern depends on the successful approval of an increase in Authorised Capital at the upcoming General Meeting, and the support of the Company’s creditors and shareholders.
“2021 was a challenging year,” said Mr. Steven Goh, Co-Founder and CEO of Achiko. “We realize that the Covid-19 challenge and for us to deliver a timely solution continues to evolve. For some markets, there’s an optimism that the challenges Covid-19 presents may be over. For many others, they’re finding it’s anything but.”
The Company moved to reduce costs in the last half of 2021, and encountered numerous operational challenges, including continuity of the Company’s accounting and finance function.
“From a personal standpoint, after two years being restricted in travel and movement, I’ve spent the last few months travelling including fixing production in Indonesia including review, solving issues and optimizing production, managing technology development in Europe, seeing investors and working to get the accounts out,” added Goh.
“It’s with some irony that in the middle of audit completion, I’ve had my own Covid-19 experience. The delays have been a continuing source of frustration; however, I am confident that the Company’s accounting and finance function is now stabilized and that post reporting date we have successfully reinstitionalized financial controls and the Company’s ability to keep books and records.”
Despite the challenging environment, the Company has continued to progress the development of its core AptameX™ technology and is positioned to capitalize on the substantial competitive benefits of its differentiated chemistry for the detection of Covid-19 and application to various other pathogens.
Post-balance date highlights include:
a. The Company reported that calibration testing of its affordable, non-invasive Covid-19 saliva-based rapid test AptameX correctly differentiated 100% of test samples up until a comparable reverse transcription polymerase chain reaction (RT-PCR) cycle threshold (CT) value of 33, indicating the system’s ability to deliver a >97% sensitive and > 97% specific rapid test at a wider range of viral loads than most other rapid tests.
b. Having secured the full approval of the optimized second-generation of AptameX with the Indonesia’s Ministry of Health for five years, Achiko, with the support of our local production partner Indopharma, secured a large-scale landmark sales deal with Nahdlatul Ulama (“NU”), one of the world’s largest membership organizations with direct reach to over 90 million people to produce 1,000,000 tests now, and on success to produce 5,000,000 or more tests per month from October 2022 onwards.
c. Successful registration of a CE Mark, enabling the Company to commence commercialization efforts in the European Union and other geographies.
“Given the Company’s level of indebtedness, we understand and appreciate the auditor’s adverse opinion, and note that we are in agreement that the Company’s ability to remain a going concern depends on approval at the upcoming General Meeting to increase share capacity, the continued support of shareholders, creditors, and investors, the Company’s access to capital, and timing of sales and commercialization efforts. To that end, we are looking forward to immediately completing a capital increase, and to the General Meeting to expand the Company’s authorized capital,” said Goh.
The Annual Report is available for download at: https://www.achiko.com/financials/.
The Annual General Meeting of shareholders will take place in July 2022 on a date to be announced in due course.
ABOUT ACHIKO AG
Achiko AG (OTCQB: ACHKF; SIX: ACHI.SW) (www.achiko.com) developing disruptive diagnostic solutions that puts people first. The company’s lead product is a rapid, reliable Covid-19 test with a companion app offering a user-friendly digital health passport. The test and companion app were launched in Indonesia in mid-2021 and an application for CE Mark approval in Europe will be submitted in 2022.
Achiko creates and develops aptamer-based diagnostics through its biotechnology division, AptameXTM and companion health apps via its digital mobile health technology division, Teman Sehat™. The AptameX DNA aptamer tests can be rapidly chemically synthesized, are cost-effective and have wide potential across multiple disease diagnostics. Leveraging AptameX and Teman Sehat, Achiko aims to deliver fast, accurate and affordable diagnostic testing for a range of pathogenic diseases and therapeutic indications in the rapidly evolving healthcare diagnostics field.
Headquartered in Zurich, Achiko has offices in Jakarta, and staff around the world.
Switzerland & Global
Farner Consulting Ltd.
T: +41 44 266 67 67
This communication expressly or implicitly contains certain forward-looking statements concerning Achiko AG and its business. Such statements involve certain known and unknown risks, uncertainties, and other factors, which could cause the actual results, financial condition, performance or achievements of Achiko AG to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Achiko AG is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.