Provence Technologies announces today that it has increased its capital by EUR 800,000 to EUR one million through a transfer from reserves. The company has greatly strengthened its financial structure since it was founded in 1998 and has succeeded in creating a solid shareholder base.
“We are particularly happy about this capital increase, which confirms our shareholders’ confidence in the future of Provence Technologies,” said Christophe Baralotto, the company’s CFO. “For all our partners, suppliers and clients, the increase is a guarantee of sustainability.”
Provence Technologies combines a traditional CRO (contract research organization) business for clients in the pharmaceutical, agrochemical and cosmetics industries with a high-value-added research activity based on its innovative technologies. Thanks to this balanced business model, the company has funded its research programs through its fee-for-service activities and has thus created a virtuous circle, with revenues derived from its own products. Provence Technologies is thus pushing ahead with research and development programs focused on compounds which are known for their high therapeutic potential but which have been neglected or abandoned up to now because of poor quality.
“The increased capital will enable Provence Technologies to support its growth strategy and fully develop its R&D programs,” said the company’s chairman, Michel Feraud. “Since it was founded, our company has sought, among other projects, to uncover the therapeutic potential of abandoned compounds, as it did with methylene blue. We want to continue down this path, which not only creates value for the company but also gives patients the benefit of these drugs.”
To carry this R&D strategy forward, two new researchers will join Provence Technologies at the end of 2012. The company is also planning to move into a new 1,600 square meter building in the Chateau-Gombert technology park in Marseille in 2013.