Biotech company set to sell body-part products

The York-based group, which was spun out of the University of Leeds, listed on AIM during the summer via the reverse takeover of technology firm Oxeco.

Founded in May 2006, the company has developed technology to make replacement human body parts from animal materials.

Its core dCELL product removes cells from human and animal body parts to create a scaffold which can be used to replace worn-out or diseased body parts.

In the six months to the end of July, Tissue's pre-tax losses of 4.43m far exceeded its 872,000 losses a year earlier. Much of its losses were down to a 3.7m non-cash cost from its reverse takeover and listing. Revenues, all from grants, totalled 112,000, compared with 15,000 a year earlier.

Tissue said highlights included winning European regulatory approval for its dCELL vascular patch, a "historic moment" that allows it to begin marketing.

The company is now working towards winning US regulatory approval for the product.

Tissue managing director Antony Odell said: "We are well positioned to achieve our goal of building a global leader in the field of regenerative medical devices."

Tissue had cash balances of 6.7m at the end of July, after raising 4.5m via its flotation.