Probiodrug loss announcement a non-event, says analyst

Germany’s Probiodrug (AMS: PBD) announced to the stock market that a cumulative loss of more than half of the nominal share capital of the company has been incurred, due to operating losses resulting from ordinary business operations.

Management will therefore need to summon an extraordinary general meeting (EGM) without undue delay.

Analysts at Goetzpartners Securities Research note that this is a technicality required to comply with the German Stock Corporation Act and has no further consequences beyond the calling of an EGM. It does not affect Probiodrug's financial position or financing ability. Management reiterated that the company has sufficient resources to fund operations until the end of third-quarter 2019E and continues to explore financing options.