Consegna Group (ASX: CGP) will spin out its nano-oncology technology, Aspen Medisys, into a new company and is proposing to list the entity on the ASX no later than the December quarter of 2012.
This is one of a number of proposed divestments which will net shareholders new shares in each of the proposed new listings.
Importantly, the planned listing means Consegna is reaching its first milestone to profit from one of its newly acquired assets.
Fabio Pannuti, managing director, commented on the positive milestone:
"Our plan to deliver shareholders not only a market return but also shares in divested entities is coming to fruition.
"Consegna is principally an incubation model and insofar as this is the case, historically the sum of the parts exceeds the value of the whole.
"Therefore to ensure that shareholders receive maximum value, it is our intention to deliver to them shares in the listed companies over the medium term."
The divestment is part of Consegna's Purchase, Package and Profit strategy.
Aspen Medisys commercialisation
Consegna is rapidly progressing the commercialisation of its Aspen Medisys technology, with animal studies underway at Dartmouth Medical School and the University of California Davis.
Aspen Medisys has important applications in the oncology field, centring on the use of heated nanoparticles to treat tumours.
Consegna is in the final stages of assembling an international scientific team and board to guide the continued development of its nano-oncology technology.
Pannuti told Proactive Investors today there comes a point in an asset's development profile that stewardship has to be passed on to experts who can take it to the next level.
"From a board perspective each of these assets needs a dedicated executive team that is focused on that sector or area," he said.
The spin out of Aspen Medisys is expected to raise the necessary capital to progress the development and eventual commercialisation of the platform technology, removing the financial and dilutive effect on shareholders.
Pannuti said Consegna hopes to have Aspen Medisys units operating and earning money in markets around the world by the December quarter of 2013.
Consegna is on the road to commercialisation of its BreatheAssist technology, with resources committed to the sports market ahead of the London Olympic Games, which begins in July this year.
Production for the first commercial scale release of BreatheAssist to the sports market is in its final stages.
BreatheAssist is a multi-functional nasal dilation technology that enhanced nasal airflow by 37% in a clinical study.
Importantly, there are multiple licensing opportunities for BreatheAssist, including sport, medication delivery, snoring cessation, aiding sleep apnoea and the filtration of pollen and other airborne pollutants.
Consegna is also targeting commercialisation of its other stand-alone products, developing relationships and opportunities in Europe and the United States.
The company has commenced the scoping of a clinical study for the Vibrovein product to investigate the impact on patient pain levels. This study will facilitate licensing discussions.
Consegna is focused on miniaturising the Vibrovein technology for commercialisation in the global injectables market.
Vibrovein is a device which can be attached to any syringe, delivering a small vibration to the needle.
This overcomes penetration resistance, with less pressure required to pierce the skin, and stiction which affects the internal and external surfaces of the needle.
Finally, Consegna has appointed United Kingdom-based pharmacist and chemist Steve Martin as program director for its Linguet technology.
Linguet provides an improved method of drug delivery which allows up to 85% of the active ingredient in a drug to be absorbed directly into the blood stream.
Consegna has witnessed strong growth since November 2010 with a 225% increase in its market capitalisation and a 3,331% increase in the value of its net assets.
The arrival of new substantial shareholder Switzerland-based Balam Group, which now holds a 14.33% stake in Consegna, brought with it a flurry of interest from all corners of the globe, including the U.S., Asia and Europe.